GST Returns: Use of GSTR 2B in GSTR 3B
GSTR-3B is a self-declared monthly statement to be filed by every person registered under GST with some exceptions mentioned below in this article. Due date of GSTR 3B is 20th of next month and the important part to know about it is that it cannot be revised so one should be precise and accurate while filling GSTR3B.
The purpose of this return is for taxpayers to declare their summary of GST liabilities for a particular tax period and discharge these liabilities. Taxpayer has to file Form GSTR-3B even if there is no business activity (Nil Return).
What is GSTR 2B?
Form GSTR-2B is an auto-drafted ITC statement which will be generated for every registered person on the basis of the information furnished by his/her suppliers in their respective Form GSTR-1 & Form GSTR-5 and ITC received through Form GSTR-6. It will also contains information on imports of goods from the ICEGATE system. The statement will indicate availability of Input Tax Credit to the registered person against each document filed by his/her suppliers and the Input Service Distributor (ISD).
What is the use of GSTR-2B in GSTR 3B?
Generally, GSTR 3B is auto drafted from GSTR 1 and GSTR 2B. However, the following tables are auto-drafted in Form GSTR-3B from Form GSTR-2B:
• Table 3.1(d) Inward supplies liable to reverse charge (relating to liability),
• Table4(A)(1) Import of Goods,
• Table 4(A)(3) Inward supplies liable to reverse charge (relating to eligible ITC),
• Table4(A)(4) Inward supplies from ISD
• Table 4(A)(5) All other ITC and
• 4(B) (2) Others
In case, if there is some data saved in GSTR 3B manually then ITC details will not get auto-populated in Table 3.1(d) Inward supplies liable to reverse charge (relating to liability). That means, if the taxpayer has entered & saved any values in Form GSTR-3B before auto-population by the system, the saved values will not be changed/over-written by the system.
Data in table 3.1(d) is auto populated in GSTR 3B from GSTR 2B as discussed above but is that auto filled GSTR 3B editable? Well, the answer to this question is “YES”, it is possible to edit data in GSTR 3B which is auto populated from GSTR 2B but then such data would get highlighted in red color.
The next point to think here is what if there is a mismatch in the auto populated data and the value entered by the user. In such case, GSTR 3B shows variance if difference between data entered and auto populated data is more than 10%. The input tax credit/ reverse charge liability is auto-populated on the basis of the GSTR-2B generated by the system.
1. Table 3.1(d) Inward supplies liable to reverse charge (relating to liability)
It is auto populated from GSTR 2B. Positive values shall be reported in respective tables whereas negative values shall not be reported and value shall be reported as Zero. Negative values may arise in this table due to downward amendment of outward supplies. Following is the glimpse of GSTR 2B from where such details are auto populated.
- It includes inward supplies received from a registered person including supplies on which reverse charge is applicable, Inward supplies from ISD and Import of goods. Here, details in form of summary value of IGST/CGST/ SGST/Cess of Invoices, debit notes and amended invoices or amended debit notes are provided.
- The details of invoices furnished by Non Resident Taxable Person (NRTP) in his return GSTR-5 shall reflected here as Inward supplies.
2. Table 4(A)(1) Import of Goods, Table 4(A)(3) Inward supplies liable to reverse charge (relating to eligible ITC), Table 4(A)(4) Inward supplies from ISD and Table 4(A)(5) All other ITC
It is auto populated from GSTR 2B. Positive values shall be reported in respective tables whereas negative values shall not be reported and value shall be reported as Zero. However, such negative values shall be considered as ITC reversal and would be reported under table 4B(2). Following is the glimpse of GSTR 2B from where such details are auto populated.
3. Table 4(B) (2) Others
This is also auto populated from GSTR 2B and includes following:
- Positive values of all credit notes on which ITC is available. If negative, then credit may be claimed subject to reversal of same on the earlier instance.
- Positive values of all credit notes on which ITC is not available.
- In case there are net negative values in ITC available table 4A(1,3,4,5), then such negative value shall be considered under this table. Following is the glimpse of GSTR 2B from where such details are auto populated.
- It reflects details of ITC reversal. Thus, all credit notes issued under normal supply, reverse charge supply or ISD are been shown here including details of amended credit notes.
- Same as above it includes inward supplies received from registered person including supplies on reverse charge and ISD supplies. Supplies from registered person and Reverse charge supplies and ISD supplies credit shall not be taken to form GSTR-3B.
The author of the above article is CA Rahul Gaur.
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