Advisory for taxpayers on Form GSTR-2B
Form GSTR-2B is an auto-drafted ITC statement which is generated for every normal taxpayer on the basis of the information furnished by their suppliers in their respective GSTR-1/IFF, GSTR-5 (non-resident taxable person) and GSTR-6 (input service distributor). This statement indicates availability and non-availability of input tax credit to the taxpayer against each document filed by their suppliers and is made available to the taxpayers in the afternoon of 14th of every month.
Detailed advisory is as follows:
FORM GSTR-2B – Advisory
Q.1 What is GSTR-2B?
GSTR-2B is an auto-drafted ITC statement which is generated for every normal taxpayer on the basis of the information furnished by his suppliers in their respective GSTR-1/IFF, GSTR-5 (non-resident taxable person) and GSTR-6 (input service distributor). The statement indicates availability and nonavailability of input tax credit to the taxpayer against each document filed by his suppliers.
Q.2 When it is generated and made available to taxpayer?
It may be noted that process of GSTR-2B generation starts after ending of IFF, GSTR-5 and GSTR-6 due date on 13th midnight and therefore GSTR-2B can be made available to the taxpayer in the afternoon of 14th of the month. Further, GSTR-2B is a static statement and is made available for each month on the 14th day of the succeeding month. For example, for the month of July 2020, the statement was generated and made available to the registered person on 14th August 2020. Details of all the documents in GSTR-2B is made available online as well as through download facility.
Q.3 What are the inputs of GSTR-2B?
Q.4 What is the cut-off dates for GSTR-2B generation?
Cut-off dates for GSTR-2B generation are on the basis of due dates of GSTR-1, GSTR-5 and GSTR-6 asillustrated below.
Q.5 What should be done if IGST of imports is not featuring in GSTR-2B?
GSTR-2B also contains information on import of goods from the ICEGATE system including inward supplies of goods received from Special Economic Zones Units / Developers. This is made available from GSTR-2B of August 2020. In case any Bill of entry is not being reflected in your GSTR-2B, then you can fetch the missing records from ICEGATE by a self-service functionality provided by GSTN. A detailed advisory is already issued in this respect which can be accessed at https://www.gst.gov.in/newsandupdates/read/505
Q.6 What about reverse charge entries?
It may be noted that reverse charge credit on import of services is not a part of this statement and will be continued to be entered by taxpayers in Table 4(A)(2) of FORM GSTR-3B. However, reverse charge on import of goods is auto populated from ICEGATE.
Q.7 Where does ITC available and not-available summary shown?
A. Part A captures the summary of credit that may be availed in relevant tables of FORM GSTR-3B.
B. Part B captures the summary of credit that shall be reversed in relevant table of FORM GSTR-3B.
i. Invoice or debit note for supply of goods or services or both where the recipient is not entitled to input tax credit as per the provisions of sub-section (4) of Section 16 of CGST Act, 2017.
ii. Invoice or debit note where the Supplier (GSTIN) and place of supply are in the same State while recipient is in another State.
However, there may be other scenarios for which Input Tax Credit may not be available to the taxpayers as per other legal provisions. Taxpayers are advised to exercise caution and self-assess & reverse such credit in their FORM GSTR-3B.
Q.8 What does taxpayers need to ensure?
Taxpayers are advised to ensure that the data generated in GSTR-2B is reconciled with their own records and books of accounts. Taxpayers shall ensure that
i. No credit shall be availed twice for any document under any circumstances.
ii. Credit shall be reversed as per GST Act and Rules in their FORM GSTR-3B.
iii. Tax on reverse charge basis shall be paid.
i. ITC – Input tax credit
ii. B2B – Business to Business
iii. ISD – Input service distributor
iv. IMPG – Import of goods
v. IMPGSEZ – Import of goods or inward supply of goods from Special Economic Zones
2) https://taxguru.in/goods-and-service-tax/view-download-form-gstr-2b.html –for User Manual