GSTR 2B: The GST Council, in its 39th meeting held 14th March 2020, had recommended to enhance and improve the present system of filing of GSTR-3B, GSTR 2A and GSTR-1. One such enhancement is GSTR 2B introduction which is an auto-drafted input tax credit ( ITC) statement which would aid in assisting / determining the input tax credit that is available for every taxpayer.
What is GSTR-2B?
When a seller files his GSTR-1 showing details of Outward supplies, then such supplies will get auto populated in form GSTR-2B as inward supplies of Purchaser. In the same way, it will also reflect the details entered by supplier being Non Resident Taxable Person (NRTP) in their GSTR-5 and Input Service Distributor (ISD) in their GSTR-6. It will also contains information on imports of goods from the ICEGATE system.
All inward supplies details will get auto populated in this GST Return from respective GST Returns of suppliers.
When can GSTR-2B be generated?
GSTR-2B is available from July 2020 onwards and this return can be generated on 12th of next month. For instance, GSTR-2B for the month of August is available on 12th September.
Content of form GSTR-2B
GSTR 2B Excel sheet contains 11 worksheet. It starts with basic details such as financial year, Tax Period, GSTIN, legal name of registered person and trade name, if any. It is then bifurcated into 2 parts i.e. Goods/services on which ITC is available and goods/services on which ITC is not available.
1. ITC Available
Part-A : ITC Available – Credit may be claimed in relevant headings in GSTR-3B
It includes ITC Available on 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 will also get reflected here as Inward supplies.
In case of ITC of supplies from registered person, Imported supplies and ISD inward supplies, if this is positive then credit can be availed in form GSTR 3B and vice versa if this is negative then credit shall be reversed whereas in case of reverse charge supplies credit can be availed on payment of tax and these supplies shall be declared in GSTR-3B.
Part-B : ITC Reversal – Credit should be reversed in relevant headings in GSTR-3B
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.
As mentioned above, if this is positive, credit shall be reversed in form GSTR-3B and if negative then credit can be reclaimed provided it has been reversed earlier.
2. ITC Not Available
Part-A : ITC Not Available
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.
Part B : ITC Reversal
Here also, details of credit notes being raised for reversal of ITC shall be shown here and such credit shall also be reversed in form GSTR-3B.
All the above summary are detailed in other worksheets such as B2B (Business to Business), B2BA (Business to Business Amendment), B2B-CDNR (Debit/Credit notes (Original)) B2B-CDNRA (Amendments to previously filed Credit/Debit notes by supplier), ISD, Amendments ISD Credits received, Import of goods from overseas on bill of entry and Import of goods from SEZ units/ developers on bill of entry.
In these annexures, details such as Invoice number, invoice date, invoice value, legal name, GSTIN of supplier, rate of tax, place of supply, ITC availability, GST, Ice gate reference date, Bill of entry details etc. are provided individually/ invoice wise.
This return is not to be filed as it is a statement containing details of all purchases from different suppliers is auto populated in this form. Also, as it is an auto-drafted Input Tax Credit (ITC) statement and a read only document, no corrections can be made in this form.
Difference between GSTR-2A and GSTR-2B
- Likewise GSTR-2A, GSTR-2B also shows details of Input tax credit and purchases but in various summary formats such as ITC summary, Supplier wise summary and Document wise summary.
- In GSTR-2B, ITC summary is further detailed into eligible and ineligible credit summary which is same as that mentioned in GSTR-2A but it aslo provides details with respect to Import purchases, ISD supplies data, Reverse/ Non reverse charge supplies data, Other supplies data and tax item data.
- Further summary is given on the basis of Business to business details, credit note and debit note details, ISD details, Import of goods or services, import of goods or services from SEZ supplier which includes information such as invoice detail, document details, item details, etc.
- GSTR-2A is dynamic as it changes from day to day as and when supplier uploads the documents. However, GSTR-2B remains static/constant as against GSTR-2A as it doesn’t changes on actions of supplier.
- One of the similarity is that both are available on monthly basis.
- The other diifference is that GSTR-2A collects data from GSTR-1, GSTR-5, GSTR-6, GSTR-7 and GSTR-8 whereas GSTR-2B collects data from GSTR-1, GSTR-5, GSTR-6 and Indian Customs Electronic Gateway Systems.
- The last thing to be added here is the details of ITC on import of goods which does not get reflected in GSTR-2A as foreign supplier are not required to file GST return resultant which such details are not populated in GSTR-2A. However, such details are shown in GSTR-2B as it collects data from Indian Customs Electronic Gateway Systems.
For any questions, you may reach us at Discussion Forum
The author of the above article is CA Rahul Gaur.