Q. 651 My client received 20% of the contract value on signing of the contract (and a tax invoice issued with GST) amount in Financial year 2021-22. However, the contract is being cancelled and my client has to return the 20% in February 2023, for which the other party is raising an invoice for cancellation of the signing amount with GST thereon. Query is whether GST is levied on Cancellation of the contract ? or we can raise a credit note to the party without GST. Please assist. Thank you

Ans. You can raise GST credit note.

Q. 650 In case of services related to Installation , testing , fire fighting system , commission of system at site the Place of Supply ( POS ) shall be the site where installation done & accordingly GST shall be charged irrespective of place of registration of recipient ?

Ans. Yes, Place of supply will be location of installation done. 

Q. 649 Dear Sir / Madam, My client is registered in GST and are going to receive a Car as gift, should the client levy GST on the car received ? Is it considered as a supply under GST ?

Ans. If it is made in the course or furtherance of business then GST is to be levied.