No Mandatory ITC Reversal on Post-Sale Discounts by the Buyer, if GST liability paid by raising Debit Note
The Hon’ble Gujarat High Court in the case of Shree Ambica Auto Sales and Service &Anr. held that there is no statutory provision mandatorily requiring the buyer to reduce input tax credit on the basis of credit notes issued by the seller, and directed re-opening of GST portal for rectification of GSTR-1 and GSTR-3B despite due date expiry where revenue neutral.