regarding expierd and damage goods, Goods and Services Tax - GST

[Manish Goel]

Well we are distributer of few company and received expire and damage goods from shopkeeper and company represntative comes and check it and destory it at our place there after from co. we recived a consolidate amount mail and agaist it we issue GST invoice to co with 18% GST under SAC code 9985 under REIMBURSEMENT OF DAMAGE GOODS and stock qty will be less from my stock i want to ask this practise is right or wrong in GST please suggest me if wrong then whats the solution.

Posts / Replies

[KASTURI SETHI]

HSN code mentioned by you is incorrect. This service is classified under HSN Code 9997. Rate of tax is correct. See serial no.35 of Notification No.11/17-CT(R) dated 28.6.17 as amended from time to time up to 30.9.19. Also see Schedule-II 5(e) of CGST Act.