Sections extracted
- Section 15(3)(b)(ii)
- Section 168 (1)
- Section 34
GST circular working note
Circular 212/06/2024-GST: Clarification on mechanism for providing evidence of compliance of conditions of Section 15(3)(b)(ii) of the CGST Act, 2017 by the suppliers
Source-led decode of CBIC Circular 212/06/2024-GST with the actual provisions, rules, forms and official PDF trail.
Reviewed by CA Nikhil Gupta · Updated 5 October 2026
Filing identity
Circular number
212/06/2024-GST
Date
2024-06-26
CBIC record
1003209
PDF source
official text PDF; 4 page(s)
Form in 2 minutes
Circular 212/06/2024-GST deals with clarification on mechanism for providing evidence of compliance of conditions of Section 15(3)(b)(ii) of the CGST Act, 2017 by the suppliers. Read it as a document and system control: identify the document date, system rule, officer communication or invoice-reporting event and preserve the electronic acknowledgement. The circular is binding administrative clarification under the GST framework only to the extent of the issue it answers; the Act, Rules, notifications and event-date version still control the final legal result.
Working point: On the issue of clarification on mechanism for providing evidence of compliance of conditions of Section 15(3)(b)(ii) of the CGST Act, 2017 by the suppliers, compliance turns on traceable system evidence: keep the portal result and map it to the legal communication or invoice record.
Bare law, rules and notifications
Rules extracted
No CGST Rule number was expressly extracted from Circular 212/06/2024-GST.
Forms extracted
- FORM GST DRC-03
Notifications and linked circulars
- No other notification or circular is cited in the circular text
The source map above is limited to citations actually extracted from the official Circular 212/06/2024-GST PDF. Where the transaction also touches another charging section, exemption entry, return rule or limitation provision, document that separate source before filing or advising.
Paragraph-wise decode
| Para | Issue dealt with in the circular |
|---|---|
| 2 | In order to clarify the issue and to ensure uniformity in the implementation of the provisions of law across the field formations, the Board, in exercise of its powers conferred by section 168 (1) of the CGST Act, hereby clarifies the issues as under: |
| 2.1 | Section 15 of the CGST Act provides for value of taxable supply of goods or services or both. Sub -section (3) of the said section provides that the value of supply shall not include discount given by the supplier, subject to certain conditions. As per clause (b) of the said sub-section, any discount which is given after the suppl y has been effected shall not be included in the value of the supply , only if it satisfies the... |
| 2.2 | Accordingly, wherever any discount is offered by the supplier to the recipient, by issuance of a tax credit note as per section 34 of the CGST Act, after the supply has been effected, the said discount can be excluded from the value of taxable supply only if the conditions of clause (b) of sub -section (3) of section 15 of the CGST Act are fulfilled. Such conditions inter alia includes the requirement of reversal of input tax... |
| 2.3 | However, there is no system functionality / facility presently available on the common portal to enable the supplier or the tax officer to verify the compliance of the said condition of proportionate reversal of input tax credit by the recipient. |
| 2.4 | In view of the above, till the time a functionality/ facility is made available on the common portal to enable the suppliers as well as the tax officers to verify whether the input tax credit attributable to such discounts offered through tax credit notes has been reversed by the recipient or not, the supplier may proc ure a certificate from the recipient of supply, issued by the Chartered Accountant (CA) or the Cost... |
Use these paragraph cues to locate the operative part quickly, then read the full official PDF for conditions, exceptions, examples, effective dates and past-period regularisation language.
Workflow
- Identify issue.
Record the taxpayer, supply, return period, order or refund event covered by Circular 212/06/2024-GST. - Map source.
Open the circular PDF with the Act, Rule and notification entries listed above. - Compile proof.
IRN or DIN, officer communication, portal log, invoice data, recipient communication and exception documentation. - Close filing.
Use the portal or officer channel that matches the event date and keep the acknowledgement with the source PDF.
Forms and downloadable source
Circular 212/06/2024-GST expressly references these forms: FORM GST DRC-03. Use the official form compendium and the live portal version before filing.
Do not use a form title by memory alone. Confirm the live portal, the rule that prescribes the form, historical return period and any officer instruction before upload or reply.
Highlighted advisory points
Scope
Circular 212/06/2024-GST should be confined to clarification on mechanism for providing evidence of compliance of conditions of Section 15(3)(b)(ii) of the CGST Act, 2017 by the suppliers; nearby issues require their own source check.
Evidence
Keep the official PDF, transaction documents and portal record together so a reviewer can reproduce the conclusion.
Version
For historical periods, use the law and portal version applicable to the event, not merely the current screen label.
Exam and advisory case study
For advisory use, state the system trigger, legal source, exception if any and consequence of non-compliance; do not convert a system instruction into a taxability rule. For Circular 212/06/2024-GST, a complete answer names the issue, lists the controlling provisions extracted above, applies the circular's operative answer, and then states what the taxpayer or officer must do in the return, refund, appeal, billing or record file.
Finin2min summary and Q&A
Summary: Circular 212/06/2024-GST is a source-specific GST clarification on clarification on mechanism for providing evidence of compliance of conditions of Section 15(3)(b)(ii) of the CGST Act, 2017 by the suppliers. Use the exact official PDF, not a generic circular checklist, and preserve the law/rule/notification map with the working file.
Is the circular itself the full law?
No. It clarifies administration under GST. The Act, Rules, notifications, court orders and facts of the transaction remain necessary.
When is a form PDF needed?
Only when the circular or linked rule actually points to a prescribed form. If the page lists forms, use the form compendium and the current GST portal version.
Can this be applied to another tax period?
Only after checking the effective date, amendment history and any past-period regularisation language in the official circular and related notification.
Primary official sources
CBIC circular metadata | Official CBIC PDF viewer | CBIC circular list | GST Council circulars
This Finin2min page is an educational working note. Official legislation, Gazette instruments, circulars, portal rules, court decisions and the facts of the matter prevail. Obtain professional advice for a live filing, refund, appeal or dispute.