CA Deepali Mehta Shah & Savla LLP · Imp Points for GSTR - 3B ... A very important point to...

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Transcript of CA Deepali Mehta Shah & Savla LLP · Imp Points for GSTR - 3B ... A very important point to...

  • 19/08/17

    1

    CA Deepali Mehta

    Shah & Savla LLP Chartered Accountants

    Returns – GSTR-1, GSTR-2, GSTR-3 & GSTR-3B

    Tran-1 & Tran-2 - Intensive Study Circle - GSTPAM

    Matters to be covered

    Returns;

    GSTR-3B

    GSTR-1

    GSTR-2

    GSTR-3

    Matching Concept

    2

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    Returns under GST

    3

    Every registered person is required to file

    (i) Details of Outward Supply;

    (ii) Details of Inward Supply; and

    (iii) Return

    for the prescribed tax period.

    UN agencies have to file return for the month during which they make purchases.

    They would not be required to file regular return.

    Common return is prescribed for CGST, SGST, IGST and UGST.

    CA Deepali Mehta

    Returns

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    CA Deepali Mehta

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    Sales Register including debit notes & Credit notes

    Purchase register, Expense Register, Fixed Asset register – sale or Purchase

    Details of Non GST Supply. NIL rated & Exempt Supply

    Check List for

    Return filing

    Inward /outward supply of

    petrol, diesel, Liquor for

    human consumption, sale of

    Flat, Land, Securities. Details

    of outward supply on which

    RCM is paid by recipient

    Calculation of IGST, CGST

    & SGST Output tax

    Calculation of ITC, Reversal

    of ITC, Ineligible ITC ,

    adjustment of IGST, CGST

    & SGST Credit against

    output liability

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    4

    GSTR-3B return must be filed by all persons having GST registration for the month

    of July 2017 and August 2017 on the 20th of August and 20th September 2017

    respectively. Today we look at GSTR-3B return filing in detail along procedure for

    filing online

    Normal schedule of filing GSTR-3 will start for the month of September in October.

    GSTR-3 also needs to be filed for the month of July & August in the month of

    September.

    CA Deepali Mehta

    GSTR - 3B

    7

    The Government has mentioned that during the GST transition period, leniency would be shown to

    taxpayers to familiarize themselves with the GST provisions. Hence, no penalty has so far been

    announced for not filing GSTR-3B return. However, it is expected that taxpayers who fail to file

    GSTR-3B returns would be ineligible to being filing GSTR-1, GSTR-2 and GSTR-3 returns from the

    month of October. Failure to file GSRT-1, GSTR-2 and GSTR-3 returns will attract penalty of Rs.100

    per day.

    GSTR-3B is a simplified GST return, in which outward supplies and inward supplies are not matched.

    Hence, the taxpayer while filing GSTR-3B return is required to furnish details of both outward supplies

    and inward supplies.

    CA Deepali Mehta

    GSTR - 3B

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    It is Mandatory to file GSTR-3B. File NIL return if no sale & purchase. Therefore all dealers who are

    required to file monthly returns under the GST Regime are required to file GSTR-3B. Composition

    dealers are required to file quarterly returns therefore dealers who have opted for composition scheme

    are not required to file GSTR-3B.

    GSTR-3B is not the final return for the month of July’2017 this is only a provisional return. GSTR-1,

    GSTR-2, GSTR-3 for July’2017 are still required to be filed.

    GSTR-3B cannot be revised. Any revision in the figures for July’2017 has to be done through GSTR-

    1, 2 and 3 to be filed later on. Any taxes due for July’2017 have to be paid before filing GSTR-3B

    If there is any change in the figures at the time of filing forms GSTR-1,2 & 3 and if there is excess

    tax payable then the same will have to be paid with interest before filing GSTR-3 due in

    September. CA Deepali Mehta

    Imp Points for GSTR - 3B

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    If your input credits are more than your output in GSTR-3B then you need not pay any taxes before

    filing this return. However, it is to be noted that no refund can be claimed in form GSTR-3B and excess

    credit will be credited to the ITC Ledger.

    A very important point to remember about filing GSTR-3B is that the transitional credits available from

    the previous VAT/Service Tax/Excise regimes will not be available for credit and use in GSTR-3B. Any

    such credits have to be shown by filing form TRAN-1 and will be available for use only after filing

    TRAN-1

    GSTR-3B is to be filed from the period from which the registration is taken by the supplier. Therefore,

    if you have taken registration in the month of August’2017 the option for filing GSTR-3B for July’2017

    will not be available and the no GSTR-3B is to be filed for July’2017.

    CA Deepali Mehta

    Imp Points for GSTR - 3B

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    Remember the order for set-off eligible ITC. ITC of IGST, CGST and SGST must be set-off from

    themselves (intra-head) first before being set-off inter-head. Remember that GST and SGST cannot be

    set-off against each other.

    Any amounts to be paid on reverse charges have also be shown and paid in GSTR-3B also. Please

    remember that amount payable under reverse charges will not be available to be paid by utilising input

    credit. Amount payable on reverse charges will have to paid by cash.

    GSTR-3B can be submitted through digital signatures or Electronic verification code except for

    Companies where it has to be filed by digital signatures.

    CA Deepali Mehta

    Imp Points for GSTR - 3B

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    CA Deepali Mehta

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    GSTR-3B 13th August, 2017 CA. Gopal Kedia

    13

    GSTR-3B 13th August, 2017 CA. Gopal Kedia

    14

    Whether import of goods & sservices will come in (d)?

    Non GST outward Supplies will include ?

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    GSTR-3B 13th August, 2017 CA. Gopal Kedia

    15

    GSTR-3B 13th August, 2017 CA. Gopal Kedia

    16

    Can one take the credit of IGST paid in

    July, in July itself?

    ITC of all Purchases including expenses &

    Capital goods

    ITC reversed under section 18(4),(6) & 29(5)

    Banking & Financial Institution, ITC

    disallowed as mentioned in rate schedule

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    GSTR-3B 13th August, 2017 CA. Gopal Kedia

    17

    Returns – Outward Supply

    18

    Sr. No. Return /

    Ledger

    For Due Date

    1 GSTR – 1 Every RTP have to furnish details of outward supplies

    electronically through the Common Portal either directly or

    through a Facilitation Centre., effected during a tax period and

    effected during an earlier tax period, for each registered place.

    This return is not required to be filed by (i) ISD’s, (ii) NR Taxable

    person, (iii) RTP discharging tax under composition levy, (iv)

    person who is required to deduct tax, (v) person who have to

    collect tax at source)

    10th of Next

    Month

    CA Deepali Mehta

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    CA Deepali Mehta

    B to C (Intertstate with Invoice value>2.5 lakhs

    B to B

    GSTR-1 Outward Supplies

    Zero rated & deemed exports

    B to C

    (Net of debit notes and credit notes)

    NIL rated, Exempted &

    Non GST

    Amendment, Debit notes

    & Credit Notes

    Advances & HSN

    Summary

    RTP is not allowed to furnish details of outward supplies during the period from 11th

    to 15th of the month succeeding the tax period.

    Commissioner may, for reasons to be recorded in writing, extend the time limit for

    furnishing details for such class of taxable person as may be notified.

    Rectification in the details is permitted –

    (i) before the due date of furnishing return for the month of September (20th

    October) following the end of the FY to which details pertains; or

    (ii) Furnishing annual return (31st Dec), which ever is earlier.

    GSTR – 1 – Section 37

    20

    CA Deepali Mehta

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    CA Deepali Mehta GSTR – 1

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    To be filed by RP who is providing RCM services on outward supply

    Aggregate Turnover?

    CA Deepali Mehta GSTR – 1

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    To be filed by RP who is providing RCM services on outward supply

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    CA Deepali Mehta GSTR - 1

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    POS to be given only in case of Bill to ship to

    CA Deepali Mehta GSTR - 1

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    Shipping Bill No not compulsory can be added later

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    Place of Supply of Goods & Services:

    POS – different from location of recipient

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    CA Deepali Mehta GSTR – 1 Cont…..

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    Goods return of consumers?

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    CA Deepali Mehta GSTR – 1 Cont…..

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    CA Deepali Mehta GSTR – 1 Cont…..

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    Services not accepted? Goods rejected?

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    CA Deepali Mehta GSTR – 1 Cont…..

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    Amendment in supplies to URP

    CA Deepali Mehta

    Deemed Export

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    Treatment of Advances

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    CA Deepali Mehta

    Deemed Export

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    What if the turnover is

    below 1.5 crores

    CA Deepali Mehta GSTR – 1 Cont…..

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    Separate series for each?

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    Details of outward supplies furnished by the supplier shall be made available

    electronically to the concerned recipient in Part A of Form GSTR 2A after the 10th

    of next month.

    On receipt of details in Form GSTR -2A of inward supplies, recipient may add,

    correct or delete, if any, in the details after 10th of the next month. Such corrected

    details would be communicated to supplier in Form GSTR – 1A.

    GSTR – 1 – Section 37

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    CA Deepali Mehta

    Supplier shall either accept or reject the details so communicated on or before the

    17th but not before 15th of the next month and on such acceptance, details would be

    amended.

    If any details furnished for any tax period and remained un-matched, supplier shall

    upon discovery of any error or omission, rectify such error or omission.

    If there is any short payment, supplier is liable to pay the tax and interest, if any.

    GSTR – 1 – Section 37

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    CA Deepali Mehta

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    Instructions:

    CA Deepali Mehta GSTR – 1 Cont…..

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    CA Deepali Mehta GSTR – 1 Cont…..

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    CA Deepali Mehta GSTR – 1 Cont…..

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    `

    Returns

    38

    Sr. No. Return /

    Ledger

    For Due Date

    1 GSTR – 2 Every RTP have to furnish details of inward supplies

    electronically through the Common Portal either directly or

    through a Facilitation Centre., effected during a tax period and

    effected during an earlier tax period, for each registered place.

    This return is not required to be filed by (i) ISD’s, (ii) NR Taxable

    person, (iii) RTP discharging tax under composition levy, (iv)

    person who is required to deduct tax, (v) person who have to

    collect tax at source)

    15th of Next

    Month

    CA Deepali Mehta

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    Details shall include inter-alia –

    i. Inward supplies of taxable goods or services or both;

    ii. Inward supplies of goods or services or both, on which tax is discharged under

    Reverse Charge Mechanism;

    iii. Inward supplies of goods or services or both, taxable under IGST Act or on which

    tax is payable under section 3 of Customs Act, 1975;

    iv. Debit or Credit notes received in respect of such supply.

    GSTR – 2 – Section 38

    39

    CA Deepali Mehta

    Details shall include inter-alia –

    v. Debit or Credit notes received in respect of such supplies during a tax period after

    the 10th but on or before 15th of the succeeding tax period;

    vi. Recipient of goods or services or both shall specify the inward supplies which is not

    eligible for ITC if it is determined at invoice level. Moreover, he has to also

    determine quantum of ineligible ITC which is relatable to a non-taxable supplies or

    for purposes other than business and can not determined at the invoice level.

    GSTR – 2 – Section 38

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    CA Deepali Mehta

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    Commissioner may, for reasons to be recorded in writing, extend the time limit for

    furnishing details for such class of taxable person as may be notified.

    Details of supplies modified, deleted or included by the recipient and furnished shall

    be communicated to the supplier concerned in Form GSTR 1A.

    GSTR – 2 – Section 38

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    CA Deepali Mehta

    If any details furnished for any tax period and remained un-matched, supplier shall

    upon discovery of any error or omission, rectify such error or omission.

    If there is any short payment, supplier is liable to pay the tax and interest, if any.

    Rectification in the details is permitted –

    (i) before the due date of furnishing return for the month of September (20th

    October) following the end of the FY to which details pertains; or

    (ii) Furnishing annual return (31st Dec), which ever is earlier.

    GSTR – 2 – Section 38

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    CA Deepali Mehta

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    CA Deepali Mehta GSTR – 2

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    GSTR-2

    (iii) The recipient

    taxpayer has the following

    option to act on the auto

    populated information:

    a. Accept,

    b. Reject,

    c. Modify (if information

    provided by supplier is

    incorrect), or

    d. Keep the transaction

    pending for action (if

    goods or services have not

    been received)

    After taking the action,

    recipient taxpayer will

    have to mention

    whether he is eligible

    to avail credit or not

    and if he is eligible to

    avail credit, then the

    amount of eligible

    credit against the tax

    mentioned in the

    invoice needs to be

    filed;

    The recipient taxpayer

    can also add invoices (not

    uploaded by the

    counterparty supplier) if

    he is in possession of

    invoices and have

    received the goods or

    services;

    CA Deepali Mehta GSTR – 2

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    Auto Populated

    To be inserted

    Recipient will

    have the option

    to accept

    invoices auto

    populated as

    well as add

    invoices,

    pertaining to

    reverse charge

    only when the

    time of supply

    arises in terms

    of section 12 or

    13 of the Act;

    and

    Recipient tax

    payer is required

    to declare in

    Column No. 12

    whether the

    inward supplies

    are inputs or

    input services or

    capital goods

    (including plant

    and machinery).

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    CA Deepali Mehta GSTR – 2

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    Taxable Value in

    Table 5 means

    assessable value

    for customs

    purposes on which

    IGST is computed

    (IGST is levied on

    value plus

    specified customs

    duties). In case of

    imports, the

    GSTIN would be

    of recipient tax

    payer.

    GOODS

    Recipient to

    provide for Bill

    of Entry

    information

    including six

    digits port code

    and seven digits

    bill of entry

    number To be inserted

    CA Deepali Mehta GSTR – 2

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    6D Amendment of Debit & Credit Notes of earlier tax periods

    To be inserted

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    CA Deepali Mehta GSTR – 2

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    Details of each supplier is

    needed whether regular or

    composition

    Details of exempt/ NIL

    and NON GST to be

    bifurcated Intra state &

    Interstate

    Auto Populated

    CA Deepali Mehta GSTR – 2

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    Details of each supplier is

    needed whether regular or

    composition

    Details of exempt/ NIL

    and NON GST to be

    bifurcated Intra state &

    Interstate

    Auto Populated

    Auto Populated

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    CA Deepali Mehta GSTR – 2

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    Advance received for RCM

    To be inserted

    CA Deepali Mehta GSTR – 2

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    Proportionate ITC

    Payment of consideration

    Adjustment of ISD

    distributed more earlier

    Adjustment of ITC for

    Non Business purpose =

    D2 which is 5% of

    common ITC + D1 which

    is ITC attributable to

    exempt supply

    Amount of ITC of capital

    goods to be attributed

    towards exempt suppy

    ITC at the end of Financial year

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    CA Deepali Mehta GSTR – 2

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    Table 12 to capture

    additional liability due

    to mismatch as well as

    reduction in output

    liability due to

    rectification of

    mismatch on account

    of filing of GSTR-3

    of the immediately

    preceding tax period

    CA Deepali Mehta GSTR – 2

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    CA Deepali Mehta GSTR – 2

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    CA Deepali Mehta GSTR – 2

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    CA Deepali Mehta GSTR – 2

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    Returns

    56

    Sr. No. Return /

    Ledger

    For Due Date

    1 GSTR – 3 Every RTP have to furnish return electronically through the

    Common Portal either directly or through a Facilitation Centre.,

    of inward and outward supplies, ITC availed, tax payable, tax paid

    and such other particulars as may be prescribed.

    This return is not required to be filed by (i) ISD’s, (ii) NR Taxable

    person, (iii) RTP discharging tax under composition levy, (iv)

    person who is required to deduct tax, (v) person who have to

    collect tax at source)

    20th of Next

    Month

    CA Deepali Mehta

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    Part A of the return shall be electronically generated on the bases of information

    furnished through GSTR-1, GSTR-2, and other liabilities of preceding tax periods;

    Taxable person have to discharge his tax liability, interest, penalty, fees by debiting

    ECL as per the details contained in Part B of return.

    Commissioner may, for reasons to be recorded in writing, extend the time limit for

    furnishing details for such class of taxable person as may be notified.

    GSTR – 3 – Section 39

    57

    CA Deepali Mehta

    RTP has to furnish return for every tax period whether or not any supplies of goods

    or services or both have been made during such tax period.

    If there exists or discover any omission or incorrect particulars in return, RTP shall

    rectify such omission or incorrect particulars in the return to be furnished for the

    month or quarter during which such omission or incorrect particulars are noticed.

    However, RTP is liable to pay interest, if there is any short payment of tax.

    GSTR – 3 – Section 39

    58

    CA Deepali Mehta

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    Discovery of any omission or incorrect particulars should not be as a result of

    scrutiny, audit, inspection or enforcement activity by the tax authorities.

    Rectification in the returns is permitted –

    (i) before the due date of furnishing return for the month of September (20th

    October) or 2nd Quarter following the end of the FY to which return pertains; or

    (ii) actual date of furnishing relevant annual return (31st Dec), which ever is earlier.

    GSTR – 3 – Section 39

    59

    CA Deepali Mehta

    RTP shall not be allowed to furnish a return for a tax period if the return for any of

    the previous tax periods has not been furnished by him.

    GSTR – 3 – Section 39

    60

    CA Deepali Mehta

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    CA Deepali Mehta GSTR – 2

    61

    CA Deepali Mehta GSTR – 2

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    Table 4.1 will

    not include

    zero rated

    supplies made

    without

    payment of

    taxes.

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    CA Deepali Mehta GSTR – 2

    63

    B to B, B to C all totaled up

    CA Deepali Mehta GSTR – 2

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    Table 4.3 will not

    include amendments

    of supplies originally

    made under reverse

    charge basis.

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    CA Deepali Mehta GSTR – 2

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    Inward supplies attracting reverse charge including Import of services

    Tax liability due to

    reverse charge on

    inward supplies in

    Table 5 is net of

    invoices,

    debit/credit notes,

    advances paid and

    adjustments made

    out of tax paid on

    advances earlier.

    CA Deepali Mehta GSTR – 2

    66

    It does not

    include

    Reverse

    charge

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    CA Deepali Mehta GSTR – 2

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    Auto Populated of previous

    month return

    CA Deepali Mehta GSTR – 2

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    CA Deepali Mehta GSTR – 2

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    CA Deepali Mehta GSTR – 2

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    GSTR-3 filed without

    discharging complete

    liability will not be

    treated as valid return.

    If taxpayer has filed a

    return which was not

    valid earlier and later

    on, he intends to

    discharge the

    remaining liability,

    then he has to file the

    Part B of GSTR-3

    again.

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    CA Deepali Mehta GSTR – 2

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    Refund from cash ledger

    can only be claimed only

    when all the return related

    liabilities for that tax

    period have been

    discharged.

    Refund claimed from cash

    ledger through Table 14

    will result in a debit entry

    in electronic cash ledger

    on filing of valid GSTR 3.

    CA Deepali Mehta GSTR – 2

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    Return process Summary

    73

    CA Deepali Mehta

    Outward and Inward Supply and Return Process

    74

    CA Deepali Mehta

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    Are you suppose to

    include C forms all the

    past two years?

    ITC Reversal means?

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    40

    Capital goods

    ET means?

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    Principal & Job

    worker/Agent

    both have to file

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    CA Deepali Mehta

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    CA Deepali Mehta

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    Shah & Savla LLP Chartered Accountants

    Visit us at

    www.shahnsavla.com

    Email: [email protected]

    Talk to us at +91 22 61535500

    Shah & Savla LLP

    88

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