Amendment of Section 34

In Section 34 of the principal Act, in sub-section (2), for the proviso, the following proviso shall be substituted, namely:– “Provided that no reduction in output tax liability of the supplier shall be permitted, if the–– (i) input tax credit as is attributable to such a credit note, if availed, has not been reversed by the recipient, where such recipient is a registered person; or (ii) incidence of tax on such supply has been passed on to any other person, in other cases.”.