Question ID :
40687
GST Implication of Sale Price less than Purchase Cost
A trader sells goods at a price which is less than the purchase cost of the same and thereby accumulates the ITC. He does this for achieving volume discount on purchases made by him.
1. Can the trader carry forward such accumulated ITC and utilise the same for future GST liability? I guess there can not be a situation of refund since it does not fall under inverted duty structure.
2. Would the discounts so received amount to subsidies directly linked to price as stated in Sec 15(2)(e).
posted by
CA. KRISHNA MURTHY N
on
Jun 15 2020 12:00AM