This circular provides clarification regarding the withdrawal of Circular No. 105/24/2019-GST dated 28 June 2019, which had issued clarifications on various issues related to the treatment of secondary or post-sales discounts under GST.

The circular notes that after issuance of the earlier circular, several representations were received from trade and industry expressing apprehensions about its implications. Concerns were raised that the clarifications could lead to interpretational difficulties and lack of uniformity in implementation across field formations.

In view of these concerns, and with the objective of ensuring consistency in the application of GST provisions, the Board has decided to withdraw Circular No. 105/24/2019-GST in its entirety, ab initio. This means that the said circular shall be treated as if it had never been issued and shall not be relied upon for any purpose.

The circular also requests field formations to issue suitable trade notices to widely publicize this withdrawal so that taxpayers are adequately informed.

This action is intended to address stakeholder concerns and avoid unintended consequences arising from the withdrawn clarifications.