https://www.taxtmi.com/forum/issue?id=117597 If a supplier availed input tax credit on inputs contained in finished goods that are returned and destroyed, those credits must be reversed because the destroyed goods were not used in the course or furtherance of business. Recipients who claimed ITC on the original supply must reverse their credits on return, and suppliers should issue credit notes to neutralise earlier tax liabilities. Suppliers who paid tax but did not adjust by credit note may seek refund subject to conditions; procedural compliance and recordkeeping are necessary to avoid mismatches and disputes. en-us Fri, 29 Oct 2021 12:59:31 +0530 Thu, 23 Jan 2025 15:54:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=117597 If a supplier availed input tax credit on inputs contained in finished goods that are returned and destroyed, those credits must be reversed because the destroyed goods were not used in the course or furtherance of business. Recipients who claimed ITC on the original supply must reverse their credits on return, and suppliers should issue credit notes to neutralise earlier tax liabilities. Suppliers who paid tax but did not adjust by credit note may seek refund subject to conditions; procedural compliance and recordkeeping are necessary to avoid mismatches and disputes. Discussion-Forum GST Fri, 29 Oct 2021 12:59:31 +0530 https://www.taxtmi.com/forum/issue?id=117597