I have already sold goods and submitted the GST return, but the party does not want to make payment and requests for cancellation of this inivoice. I have already generated waybill also. Can I do that?
Ans. There is no mechanism to cancel the invoice in case of non- payment by customer. section 34 of the CGST Act, 2017 allows issuance of a credit note only in specific three cases (goods return, deficiency, value change) and thus, in case of non-payment by customer, the credit note cannot be issued. Further, an invoice can be cancelled when it is not used for making a supply and has also not been issued to customer. In other words, when it is issued by mistake and is still in the possession of supplier. Thus, in present case, both options are not available. You should try to recover the value of goods supplied along with GST from the customer.
