https://www.taxtmi.com/caselaws?id=439477 The AAR, Andhra Pradesh ruled that a recipient is not required to reverse ITC when a supplier issues post-sale commercial/financial credit notes without GST for discounts like turnover or quantity discounts. The authority found that Section 15(3)(b) provisions requiring ITC reversal for discounts do not apply as there was no prior agreement or specific correlation between credit notes and original invoices. However, the ruling cautioned that financial credit notes should not be used fraudulently to transfer ITC, warning of penalties under Section 132(b) for such misuse. en-us Fri, 26 May 2023 00:00:00 +0530 Thu, 17 Apr 2025 11:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=439477 The AAR, Andhra Pradesh ruled that a recipient is not required to reverse ITC when a supplier issues post-sale commercial/financial credit notes without GST for discounts like turnover or quantity discounts. The authority found that Section 15(3)(b) provisions requiring ITC reversal for discounts do not apply as there was no prior agreement or specific correlation between credit notes and original invoices. However, the ruling cautioned that financial credit notes should not be used fraudulently to transfer ITC, warning of penalties under Section 132(b) for such misuse. Case-Laws GST Fri, 26 May 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=439477