GST Law has given us a chance to rectify any errors in GST returns filed for the financial year 2017-18 till date of filing of September 2018 return.
In this upcoming month of October 2018 20th October is the last for GSTR 3B and 31st October is Last date for GSTR -1. Details of outward supplies can be modified on or before 31st October 2018 and details of inward supplies on or before 20th October whiling filing GSTR 3B.
- Invoice related to FY 2017-18 that was missed in filing GSTR 1 - These invoices may be added in GSTR 1 along with invoices of September 2018 in Table 4 with original date i.e. in B2B. If the tax related to invoices is also not paid, the same may be added to taxable value and tax of the month of September, 2018 and pay the tax with interest from due date of payment of tax till date of actual payment. However, the Annual return format i.e. GSTR 9 does not have a facility to add these type of missing invoices but the most suitable disclosure may be in Part V, Point 10 of Form GSTR 9.
- B2B Invoice details wrongly entered in GSTR 1 - If invoice details are entered in GSTR 1 but some fields are wrongly mentioned.
These details may be modified in Table 9A (Amended B2B Invoices/Amended B2C (Large) Invoices/Amended Export Invoices/), 9B (Credit/Debit Notes- Registered /Credit/Debit Notes- Unregistered), 9C (Amended Credit/Debit Notes -Registered / Amended Credit/Debit Notes -Unregistered) of GSTR 1. The details should be disclosed in Part V, Point 10 or 11 in GSTR 9.
Error in GSTIN i.e. Invoice is in name of Mr. Ram but GSTR 1 is filed mentioning GSTIN of Mr. Shyam , Error in taxable value, Error in tax rate, etc.,
- B2C details wrongly entered in GSTR 1 - There will be again 2 types of errors in B2C details.
- A. B2B invoice entered in B2C - If an B2B invoice related to month of Jan, 2018 have been entered in B2C of Jan 2018, this error can be rectified by adding the invoice details in GSTR 1 of September 2018 along with September B2B invoices and amending the B2C supplies of January 2018 using Table 10 ( Amended B2C -Others) of GSTR 1. To correct B2C details of a month,
Step 1 - Select the financial year 2017-18 and month (2017-18 & January, in this case)
Step 2 - Amount of B2C supplies already disclosed in January 2018 return appears
Step 3 - Deduct the B2C amount with the taxable value as per B2B invoice. Then, B2C details of January 2018 stand corrected.
If the invoice details is already given in GSTR 3B correctly, the liability is not affected and the same needs not be disclosed anywhere in GSTR 9.
- B. B2C Intra-state supplies entered as Inter-state - If B2C supplies of an assessee from the state of Maharashtra entered as B2C supplies of Uttar Pradesh i.e. Intra state entered as inter-state, the same may be rectified using Table 10 ( Amended B2C -Others) of GSTR 1. However, if the same error/mistake is also continued in GSTR 3B too, the liability may be affected since IGST is paid instead of CGST+SGST. This can be corrected by paying CGST+SGST and claiming refund of IGST. The same details needs to be disclosed in Part V, Point 10 of GSTR 9.
- C. B2C Inter-State supplies wrongly entered as different state - If B2C supplies made to Uttar Pradesh was entered as B2C supplies to Tamil Nadu by a supplier registered in Andhra Pradesh; the tax liability doesn’t change but the state mentioned is wrong. This also doesn’t affect the tax liability but the wrong details needs to be rectified for correct disclosure.
- ITC has been Missed - Did you miss claiming ITC on any invoice related to FY 2017-18. No worries, the same can be claimed up to the month of September 2018. Take the input of that ITC in GSTR 3B of September 2018 . These details are to be declared in Point 13 of Part V of GSTR 9.
- GSTR 2A Vs GSTR 3B Comparison - Monthly data of GSTR 2A can be downloaded in Excel format now. Many of us have been ignoring the reconciliation of ITC as per GSTR 3B with details available in GSTR 2A. This reconciliation process should be a continuous process since it is a time consuming one but major outcomes are as under:-
Unearthing any missed credits i.e. supplies/ invoices on which ITC credit is available but ITC not availed will come into light when the reconciliation is done. Remember that the ITC related to FY 2017-18 cannot be availed after the return for the month of September 2018 is filed.There may be some cases where ITC credit has been claimed as per Invoice issued by the supplier but the supplier didn't file GSTR 1 then the invoice details doesn’t appear in GSTR 2A. This process helps us to follow up with the supplier and intimating them to file their GSTR 1 so we can take the credit and match the same with GSTR 2.
The following details are minimum required to avail ITC credit. CGST /SGST/IGST charged, Details of goods or services, Total value of supply of goods or services or both, GSTIN of the supplier and GSTIN of recipient and Place of supply in case of inter-State supply.
- Excess ITC Credit Taken - There may be cases where excess ITC credit have been claimed due to error. For example, instead of entering only tax amount in ITC IGST column in GSTR 3B, amount of ITC credit may be entered in ITC CGST and ITC SGST which inflates CGST and SGST ITC. The same may be rectified now by reversing the excess ITC availed by entering the amount to be reversed in Table 4(B)(2) of GSTR 3B for the month of Sept, 2018 and the same details may be disclosed in Part V Point 12 of GSTR 9.