Resolution of Common Issues of GSTR 3B, GSTR 1 & TRAN 1

Editor 13 Oct 2017 9,318 Views 0 comment Print Goods and Services Tax | Articles

GSTR 3B, GSTR 1, TRAN 1, Payments

Agenda

GSTR 3B

Key Steps in filing GSTR 3B
Key Issues in filing of GSTR 3B

GSTR 1

Key Steps in online filing GSTR 1
Key Issues in online filing of GSTR 3B
Key Steps in filing though offline tool
Key Issues in filing through offline tool

TRAN 1

Key Steps in filing TRAN 1
Key Issues in filing of TRAN 1

GSTR 3B

♦ GSTR 3B is to be filed in case time limit for furnishing details of GSTR 1 and GSTR 2 has been extended.

♦ Has to be filed by 20th of subsequent month

♦ To be filed by normal and casual taxpayers

♦ Summary declaration of

> taxable value and tax paid on outward supplies

> taxable value and tax paid on supplies subject to reverse charge

> Exempt and non taxable inward supplies

> ITC Availed , ITC Reversal, Net ITC and Ineligible ITC

> Payment of taxes, late fee and interest

Key Steps in Online Filing GSTR 3B

Go to gst.gov.in and log in > Services > Return Dashboard > Select the tax period > Click GSTR 3B tile.
Enter required details in each Section and press confirm.
Also press save button at the end of page for saving your entered data
Press “Preview and Submit” to view summary
Verify the preview summary with your business records
If Correct proceed to submit
View ledger to ascertain that sufficient ITC & cash balance is available in major and minor heads
Prepare challan and deposit money in your cash ledger if cash balance is not sufficient
Offset the liabilities by filling appropriate amounts in the ITC and cash data fields of payment screen
press “Offset Liability” tab to discharge the liabilities
Once liabilities are offset, press file returns button
Select the authorised signatory
file GSTR3B return using EVC or DSC as applicable
GSTR 3B Returns filed: (1) for July : 53.05 lacs; (2) for August: 44. 21 lacs
Mistakes in entering data and realising the mistake after submit
Common Mistakes

>Wrong data entries, addition of additional zeros, or digits

>Wrong entry of inward supplies subject to reverse charge

>Non availment of ITC on reverse charge

>Non availment of ITC

Trying to file GSTR 3B of July month when registration granted in August, though date of liability is 1/7/2017
Status of submitted GSTR 3B which were not filed due to certain mistakes have been reset for July 2017 for rectification and filing
Precaution should be taken to verify the preview before submitting GSTR 3B
Problem in filing the payment details keeping in view the cross utilisation rules

> IGST Credit to be used in IGST then CGST then SGST

> CGST Credit to be used for CGST then IGST

> SGST Credit to be used for SGST then IGST

> CGST Credit to be used for IGST before SGST Credit can be used

Inability to file GSTR 3B if TRAN 1 is submitted but not filed.

> Taxpayers not having credit to be transferred are not required to file TRAN 1

> Once TRAN 1 if submitted, it is mandatory to file before filing of GSTR 3B

> GSTR 3B cannot be filed if TRAN 1 not filed

> GSTR 3B of August cannot be filed if GSTR 3B of July not filed.

If technical glitch is encountered and later the problem gets resolved,

>Clear the browsing history

>Cached images and files

>Remove cookies and other data

And then try again

GSTR 1

Statement of Outward Supplies

> Details of Supplies to registered taxpayers

> Invoice, credit/debit notes, amendments

> SEZ, subject to reverse charge

>Export Details

> Invoice , credit/debit notes, amendments

>Details of Supplies to unregistered taxpayers

> Invoice , credit/debit notes, amendments > 2.5 lacs

> Summary POS & rate wise details

> Details of Exempt/nil rated/non taxable

> Invoice , credit/debit notes, amendments

Advance received and advance adjusted details

HSN Summary

> HSN and UQC combination should be unique

Document Issued details,

> Tax invoice,

> bill of supply

> challan

GSTR 1 : Key online Filing steps

Log in at gov.in > Services >Return Dashboard> Return Month > GSTR 1
Enter data in relevant tile by clicking on it
Save data

> If some line items are not saved and processed with error

> Examine the error and correct and save again

Generate summary to update the tiles
Click on preview to download draft preview in pdf form
Compare the summary in preview with your accounting records
Correct the entered details in case of mistakes
Tick the declaration and Submit
Press “File Return”
Tick the declaration, select the authorised signatory and sign the Return with EVC/DSC as applicable and file it.
33.93 lacs taxpayers have filed their GSTR 1 for the monthof July, 2017

Certain invoices to registered persons not uploaded and GSTR 1 Submitted.

> Since the submitted GSTR 1 cannot be changed

> Ask the recipient to upload the invoices as missed invoices and accept them when they are auto-populated in GSTR 1 A and file the acceptance on the portal before filing GSTR 3.

> These will auto-amend the earlier filed GSTR 1 and the liability will be reflected in GSTR 3.

>If the recipients also fail to upload such invoices, these can be added in the GSTR 1 of next period and the liability paid with taxes in GSTR 3.

Nil return can be filed by

> generate summary and then submit and file the return. Tile summary not updated:

Tile summary not updated:

> Press generate summary if the tile summary is not updated.

> Generate summary tab can again be clicked only after 10 minutes

SEZ boxes are not enabled: These get enabled when the recipient is classified as SEZ.

> Please ask the recipient taxpayer to send a mail to GSTN to enable the flag of SEZ

Mistakes made while declaring details in GSTR 3B, can be corrected in GSTR 1
TCS provisions for Ecommerce operators is not yet notified ,

>All supplies to be reported through “other than E-commerce” tab without E-Comm GSTIN

In case of credit note for deferential amount what should be the tax rate

> The tax amount is editable and exact tax amount needs to be mentioned.

If applied for composition in August, GSTR 1/GSTR 3B not required to be filed for July as composition levy effective from 1st July
Those who are opting for composition from 1^st October, need to file GSTR 1/GSTR 3B only for July, August and September.
GSTR 1 of August, data can be saved but return cannot be submitted or filed
If technical glitch is encountered and later the problem gets resolved,

>Clear the browsing history

>Clear Cached images and files

>Remove cookies and other data

And then try again

GSTR 1 : Key Steps in Filing through Offline Utility

Ensure that the latest version of offline tool is installed
If not, download the latest Offline tool , Ver. 1.2.1
Before downloading the new version, uninstall the old version compulsorily.
Unzip the folder and extract the files
Install the GSTR1offlinetool.exe file
Launch the tool from the icon on the desktop
Clear all earlier or sample data from the java tool and excel template.
Enter return data in different excel worksheets

> Nil rated, exempt and Document issued sections have to be entered on the portal

Import the excel worksheet in the java offline tool
Check the summary in the java tool. If satisfactory generate JSON file
Upload the generated JSON file on the GST portal
After successful upload the tile would be updated.
If any error file is generated , the message would be processed with error
Click on “Generate error report”
After around 20 minutes error report would be generated and the status of link would become “download error report”
Download the error file and open in the java tool
The error file shows the details of uploaded data which are processed with error along with error messages
Correct the details. Certain details cannot be corrected e.g.

>GSTIN in b2b, cdnr table

>Invoice number in B2CL, cdnur, export tables

>POS in advance received and advance adjusted table

Generate the JSON of corrected file
Upload the corrected JSON file
To delete or Modify the uploaded data but not submitted >Download the GSTR 1 data from the download tab >Open in the Java offline tool from the centre button

>Select the invoice and press Delete button at the bottom, the status will become D

>On editing a field the status will become M

>Regenerate the JSON file

>Upload the generated JSON file.

Data can also be entered in the java offline tool by

> Copying from excel and pasting in the provided window

> Importing a CSV file with headers as specified in CSV template

Discrepancy in summary displayed in the java offline tool and excel arise because of the validation checks performed in the offline tool. Some of these are

> Wrong date format. Only, dd-mmm-yyyy( eg: 01-Jul-2017) date format is allowed.

> duplicate invoice/credit/debit note numbers in the imported data

> Invoice date after the tax period is not accepted and the data is rejected

> Invalid character in invoice number and debit/credit note number like %,* etc

> In export section, if Shipping bill date is prior to the export invoice date, the invoice data will get rejected

Discrepancy in summary displayed in the java offline tool and on the GST portal after upload of JSON file generated by the offline tool to the GST portal.

> Correctness of GSTIN of buyers (whether GSTIN is active).

> Duplicate invoice number with respect to data uploaded earlier since beginning of the financial year.

> Whether the Invoice Number mentioned in the Credit Note/Debit Note, exist in the record submitted by the taxpayer so far.

> In Export, correct shipping bill date that is on or after Invoice Date

The invoices with errors are put in error report which is not saved in the GST System.
The tiles show number of successfully saved invoices after validation checks.
Sometimes the discrepancy may also be because the tiles are not updated and one has to click “Generate Summary” button at the bottom left part of the GSTR 1 page to update the summary.
JSON Upload Rejected with error message

>The invoice number, GSTIN etc. are not of appropriate length. Even because of a blank character.

>The data has more than two decimal digits. Only two decimal digits allowed

>Date format is not in the appropriate format in Excel/CSV, dd-mmm-yyyy eg. 28-Sep-2017

>Unallowable characters are included in Invoice number

> Only alphabets,

> numbers,

> hyphen(-) and

> forward slash(/) are allowed

When the downloaded data is large

> For fast reading of the data in offline tool open the tool in fire-fox or Google chrome by typing localhost:3010 in the address bar

To correct the mistake in uploaded data

> Upload the same invoice numbers with the changed details again ,

> the changed details would overwrite the earlier details

>Download the earlier uploaded details &

> Open in the offline tool and delete or modify;

> regenerate the Json & upload.

TRAN 1

Claim of credit carried forward in the last return of Central Excise/Service Tax/VAT
Claim of un-availed credit on Capital Goods under earlier laws.
Claim of credit of taxes paid under earlier laws but goods/services received in GST regime
Claim of credit of tax paid under earlier laws for goods /services, which have become taxable under GST.

>When duty/tax paying invoice/CTD/BOE etc. is there

>When no evidence of duty/tax paid is there on the invoices/document

Distributing claimed credit of same PAN units by Centralised registrations under Service tax
Claim of credit of taxes paid under VAT/Service tax on transactions on which GST is also payable
Claim of credit of taxes paid by the principal on goods held in stock by agents.
Declarations of goods available with job-worker on the appointed day.
Declaration of goods sent for sale on approval in the past three months

TRAN 1: Key Steps in Filing

Log in at www.gst.gov.in > Services > Return > Transition forms Introdu > TRAN 1
Enter data in relevant tables and save
In case some line items are processed with error:

> Rectify the error and again save

Upload the details of table 5(b) if required in a CSV file using the offline upload facility of “choose file”
Download the CSV template and open in excel for entering data.
Offline upload facility for other tables are being made available soon
Check and verify data of all table
If the data entered is satisfactory, press submit.
No changes can made after submit
Click on disclaimer checkbox and file with DSC/EVC

TRAN 1: Key Issues in Filing