https://www.taxtmi.com/forum/issue?id=117172 For rejected raw materials returned to suppliers, two methods are used: (a) treat as sales return with a counter tax invoice (complying with e invoice and E way bill requirements where applicable); or (b) send goods with a delivery challan and E way bill and issue a debit note (no recipient e invoice required), after which the supplier issues a credit note and reverses input tax credit. Debit/credit notes are primarily supplier instruments; contracts should address returns to avoid forced ITC reversals, interest and penalties when suppliers do not issue credit notes. en-us Mon, 19 Apr 2021 13:34:20 +0530 Thu, 23 Jan 2025 15:54:33 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=117172 For rejected raw materials returned to suppliers, two methods are used: (a) treat as sales return with a counter tax invoice (complying with e invoice and E way bill requirements where applicable); or (b) send goods with a delivery challan and E way bill and issue a debit note (no recipient e invoice required), after which the supplier issues a credit note and reverses input tax credit. Debit/credit notes are primarily supplier instruments; contracts should address returns to avoid forced ITC reversals, interest and penalties when suppliers do not issue credit notes. Discussion-Forum GST Mon, 19 Apr 2021 13:34:20 +0530 https://www.taxtmi.com/forum/issue?id=117172