The Government of Karnataka on September 01, 2026, notified the Karnataka Goods and Services Tax (Amendment) Act, 2026, further to amend the Karnataka Goods and Services Tax Act, 2017.
The following has been stated: -
•The Karnataka GST Act, 2017 has been amended to permit post-supply discounts through credit notes, subject to reversal of attributable ITC by the recipient.
•Corresponding amendments have been made to Section 34 regarding issuance of credit notes for such discounts.
•Section 54 has been amended to include refund of unutilised ITC under the specified provision.
•The amendment also excludes refund claims relating to tax paid on goods exported out of India from the specified restriction.
It shall come into force at once.
The detailed notification is given in the document below.
[Notification No.: Karnataka Act No. 33 of 2026]
