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All QuestionsCategory: GST CompliancesDealers not ready to accept IGST billing
Profile photo of Ayush SardaAyush Sarda asked 5 months ago

Dealers not ready to accept IGST billing

Dealers not ready to accept IGST billing

I have a warehouse in Haryana, and when I am supplying from Haryana to haryana dealer , I raise a CGST+SGST billing to the dealer, the dealer easily accepts the invoice and thing continues.
But now when I am shifting my manufacturing unit to Punjab, and raising an IGST invoice to the dealer then delaer is resistant in taking an IGST invoice, and asking me to give a local invoice only.

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2 Answers
Profile photo of Consultease AdministratorConsultease Administrator answered 5 months ago

I have also heard that because at some places department is asking for taxes directly. You can try to educate them and tell them that credit of IGST is also available to them.

Profile photo of Abhinandan SethiaAbhinandan Sethia answered 5 months ago

Since you are shifting the unit to Punjab and issuing IGST invoice, you are doing the right thing. In my opinion, the dealer needs to be educated with the law and also it is pertinent to note that, Input tax credit in the form of IGST has more usability than any other credit as it can be used to set-off/pay IGST, CGST & SGST while CGST & SGST credits cannot be used for cross settlement. So, if you try to tell your client the benefits of having IGST credit over CGST or SGST credit, i believe he will no more be resistant