GSTCirculars › 251/08/2025-GST

251/08/2025-GST — Clarification on various doubts related to treatment of secondary or post-sale discounts under GST

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Circular in 2 Minutes

Date: 12-09-2025

Clarifies GST treatment of secondary or post-sale discounts, including ITC treatment and situations where a dealer may be supplying a distinct service to the supplier.

Topic: valuation / ITC / discounts

Current-law control

Read together with current sections 15, 16 and 34 and with the later withdrawal of Circular 212/6/2024-GST by Circular 253/10/2025-GST.

A circular explains administration of GST law; it does not itself amend the Act or Rules. Always read the cited provision, Rule, notification and effective date together.

double-check sources

  1. Official source check 1
  2. Official source check 2

Checked for Repository module on 26 July 2026.

Practical control

  • Retain the official circular PDF or Government record used for the decision.
  • Record the relevant tax period and transaction date.
  • Check whether any later circular withdraws, modifies or supplements this position.

Finin2min Q&A

Can this circular override the CGST Act or Rules?

No. Apply it within the statutory hierarchy and its stated scope.

What should be checked before relying on it?

Number, date, subject, affected provision, later circulars and the facts/tax period of the transaction.

Educational and professional reference: Official law and Government source documents prevail.