Finished goods stock unsold for long time clear as scrap

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..... Finished goods stock unsold for long time clear as scrap
Query (Issue) Started By: - Yatin Bhopi Dated:- 5-8-2019 Last Reply Date:- 16-8-2019 Goods and Services Tax - GST
Got 7 Replies
GST
Sir, We have old stock of finished goods which is unsold for long time. Due to its nature it is not usable. Now we are clearing this stock far lower then its market price. say similar product we ar .....

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..... e selling in market at ₹ 150\kg, we are clearing this stock at ₹ 15/kg. Are we need to reverse the ITC availed?. let me know GST provision in this regard Reply By YAGAY andSUN: The Reply: In our view, ITC needs to be reversed since it is being sold at lower price due to not having demand. There is no specific provision however, Section 17 (5) may be referred to some extent. Reply .....

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..... By DR.MARIAPPAN GOVINDARAJAN: The Reply: I concur with the views o YAGAY Reply By Vinay Kumar: The Reply: Dear Sir, Can U give more explanation for this question, How can we reverse the ITC availed ?? Reply By Ganeshan Kalyani: The Reply: Since the material is not sold you can trace the purchase value and GST involved in that purchase invoice. The same GST amount need to be reversed via GST .....

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..... R-3B. Reply By KASTURI SETHI: The Reply: I support the views of all the experts. However, for safer side, for correct amount of reversal, an CMA is the best option. Reply By Ramesh Kothari: The Reply: Kasturiji If CMA is less than purchase price in that case is not possible to matter may be come under litigated with GST once it audited Pl comment Reply By KASTURI SETHI: The Reply: Sir, .....

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..... You have mentioned that "CMA is less than purchase price________". Pl. make it clear. What I wanted to say "CMA-Cost Management Accountant.
Discussion Forum - Knowledge Sharing .....

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