19/08/17
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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
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Returns under GST
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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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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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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
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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.
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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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GSTR-3B 13th August, 2017 CA. Gopal Kedia
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GSTR-3B 13th August, 2017 CA. Gopal Kedia
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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
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GSTR-3B 13th August, 2017 CA. Gopal Kedia
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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
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Returns – Outward Supply
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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
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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
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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?
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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
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Deemed Export
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Treatment of Advances
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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 GSTR – 1 Cont…..
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Returns
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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
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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
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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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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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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 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;
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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
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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
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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
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Returns
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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
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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
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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
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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
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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
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CA Deepali Mehta GSTR – 2
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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
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B to B, B to C all totaled up
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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.
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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
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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.
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Return process Summary
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Outward and Inward Supply and Return Process
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