Cir.No.137/07/2020 GST dt.13.4.20 Clarification. An advance is received by a supplier for a Service contract which subsequently got cancelled. The supplier has issued the invoice before supply of service and paid the GST thereon. Whether he can claim refund of tax paid or is he required to adjust In case GST is paid by the supplier on advances received for a future event which got cancelled subsequently and for which invoice is issuedbefore supply of service, the supplier is required to issue a “credit note” in terms of section 34 of the CGST Act. He shall declare the details of such credit notes in the return for the month during which such credit note has been issued. The tax liability shall be adjusted in the return subject to conditions of section 34 of the CGST Act. There is no need to file a separate refund claim.However, in cases where there is no output liability against which a credit note can be adjusted, registered persons may

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