The Government of Tamil Nadu on September 15, 2026, issued the Tamil Nadu Goods and Services Tax (Second Amendment) Act, 2026, further to amend the Tamil Nadu Goods and Services Tax Act, 2017.
The following has been amended, namely:
• The amendment revises provisions relating to post-supply discounts, refunds and advance rulings. Section 15(3)(b) is substituted to provide that a post-supply discount may be excluded from the value of supply where the supplier issues a credit note and the recipient reverses the attributable input tax credit in accordance with Section 34. Section 34(1) is correspondingly amended to recognise such discounts as a basis for issuance of credit notes.
• Section 54 is amended to include refund of unutilised input tax credit under the relevant proviso to Section 54(3) within the specified refund provisions. It also clarifies that the restriction under Section 54(14) will not apply where refund of tax is claimed in respect of goods exported out of India with payment of tax.
• Further, Section 101A is re-numbered as sub-section (1), and a new sub-section (2) provides that, until the National Appellate Authority for Advance Ruling is constituted under the Central GST Act, an existing authority empowered under Section 101A(1A) of the CGST Act shall be deemed to be the National Appellate Authority for Advance Ruling under the Tamil Nadu GST Act.
• Section 5 is deemed effective from April 1, 2026, while the remaining provisions will come into force on dates notified by the State Government.
[ACT No. 23 OF 2026]
