TaxTMI 
TaxTMI 
ITC of Credit Notes under GST against warranty
X X X X Extracts X X X X
X X X X Extracts X X X X
....TC of Credit Notes under GST against warranty<br> Query (Issue) Started By: - Kuldeep Kapoor Dated:- 22-3-2019 Last Reply Date:- 24-3-2019 Goods and Services Tax - GST<br>Got 4 Replies<br>GST<br>Sir, We are car dealer selling cars . we are getting Warranty Claims by way of Credit Notes and i.e. ₹ 1000 + 18% as IGST . Whether we have to issue Invoice with IGST and Pay IGST Please Clarify ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... Reply By KASTURI SETHI: The Reply: In your query, detailed facts are known to me . So I would like to bring to your notice the following decision of AAR, Kerala Question No.(iii) & (iv) & their replies are worth reading and relevant for you. 2018 (18) G.S.T.L. 834 (A.A.R. - GST) = 2018 (11) TMI 282 - AUTHORITY FOR ADVANCE RULINGS, KERALA IN RE : SARASWATHI METAL WORKS Reply By KASTURI SETHI: ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....The Reply: Pl.read the first line of my reply as ,"Detailed facts are NOT known to me." Reply By KASTURI SETHI: The Reply: In continuation of case law mentioned above : (iii) The supply of parts under warranty being without consideration, no GST is payable. The value of supply made earlier includes the charges to be incurred during the warranty period. Therefore, the applicant who un....
X X X X Extracts X X X X
X X X X Extracts X X X X
....dertakes the warranty replacement is not required to reverse the input tax credit on the parts/components replaced. (iv) The supplier/manufacturer is eligible to avail the credit of higher input tax paid on purchase of raw materials, even though the manufactured products are taxable at lesser tax rate. _______ Reply By GAWESH NARULA: The Reply: No need to reverse the ITC, You can issue the goo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ds on deliveryt challan , departement is in this view, the company has already taken the cost of parts with origna material value . As per my view no need to reverse the ITC.<br> Discussion Forum - Knowledge Sharing ....