Category: Debit Note

A debit note may be raised for accounting purposes. However, for the purpose of GST, such a debit note will be of no relevance. Under the scheme of things, both debit note and credit note are to be issued by the supplier. Where the supplier fails to declare the details of such documents, the recipient can declare the details of the same (i.e., those issued by the supplier) and require the supplier to accept the same, in order to effect amendments in his return of outward supplies (GSTR-1). (Section 34(3) of the CGST Act, 2017).

(ICAI FAQ PUBLICATIONS 06-09-2017 TAX INVOICE, CREDIT AND DEBIT NOTES: FAQ NO. 26)

Yes. ‘Debit note’ are akin to ‘supplementary invoice’. They are issued by the supplier for recording increase in taxable value or tax charged in the supply.

(ICAI FAQ PUBLICATIONS 06-09-2017 TAX INVOICE, CREDIT AND DEBIT NOTES: FAQ NO. 27)

Debit note should be issued with immediate effect, and the details should be declared in the return of outward supplies for the month of September.

(ICAI FAQ PUBLICATIONS 06-09-2017 TAX INVOICE, CREDIT AND DEBIT NOTES: FAQ NO. 28)

No. Every increase in tax liability or taxable value mandates an issue of debit note.

(ICAI FAQ PUBLICATIONS 06-09-2017 TAX INVOICE, CREDIT AND DEBIT NOTES: FAQ NO. 29)