Annual Return (GSTR-9) for FY 2023-24

In addition to monthly or quarterly returns such as GSTR-1 and GSTR-3B, registered taxpayers are also required to file an annual return in Form GSTR-9. As the name suggests, the annual return must be submitted once a year. The deadline for filing GSTR-9 for the financial year 2023-24 is December 31, 2024.

As the due date for filing the GST Annual Return (GSTR-9) for FY 2023-24 approaches, taxpayers and professionals are encountering various challenges during the preparation process. This article aims to address these issues by presenting solutions in a question-and-answer format, covering as many scenarios as possible.

Q.1 Who is required to file the Annual return?

Ans: An annual return is required to be filed by every registered person whose aggregate turnover during a financial year is more than 2 Cr, except the following

• an Input Service Distributor,
• a person paying tax under section 51 (TDS),
• a person paying tax under section 52 (TCS),
• a casual taxable person and
• a non-resident taxable person.

Q2. Whether tax liability details related to FY 2022-23 reported in GSTR-I and 3B of FY 2023-24?

Ans. No, details related to FY 2022-23 will not be used for reporting at the time of filing of GST Annual Return for 2023-24 as given in Instruction 2A of notified Form GSTR-9.

Q3. Whether ITC availed in GSTR-3B of FY 2023-24 relating to previous FY 2022-23, is required to be reported in Table 6 of GSTR-9 of FY 2023-24?

Ans. No, ITC related to previous FY availed in GSTR-3B of FY 2023-24, is not required to be reported in GSTR-9 of FY 2023-24. Such information was reported in table 8C and 13 of GSTR-9 of FY 2022-23. However, Table 13 is optional since 2017-18.

Q4. In Q3, what if the taxpayer forgot to furnish such details in Table 8C and 13 of GSTR-9 of previous FY?

Ans. As per the author’s view, such details are still not required to be reported in FY 2023-24.

Q5. What needs to be done, if some invoices including debit notes or credit notes related to FY 2023-24, reported in GSTR-1 of subsequent FY upto 30^th November 2024 and taxes were discharged accordingly?

Ans. Such details will be reported in table 10 and 11 of GSTR-9 as per their nature.

Q6. If invoices are correctly reported in GSTR-1 of FY 2023-24 but taxes were discharged through GSTR-3B of FY 2024-25. In this case, how will details be reported?

Ans. If there is a difference between GSTR-I and GSTR-3B, details will be reported in GSTR-9 based on GSTR-3B. In this case, as the taxes were paid in FY 2024-25, details will be reported in Table 10 & 11 of GSTR-9 of FY 23-24.

Q7. At the time of preparing details of GSTR-9, if any additional liability arises, on which tax has not been paid till date. What needs to be done in such a case? Can a taxpayer skip such additional liability from reporting?

Ans. No, taxpayer cannot skip such additional liability. He should mandatorily report such additional liability in GSTR-9. Such details are to be reported in Table 4. After reporting in table 4, there will be a difference in tax payable of table 9 and tax already paid through GSTR-3B. Such additional tax liability shall be paid by selecting “Annual Return” in the drop down provided in FORM DRC-03. As per Instruction No. 9 to the notified Form GSTR 9, such liability shall be paid only through electronic cash ledger.

Q8. Supplier reported the invoice dated FY 2022-23 in GSTR-1 of FY 2023-24 or GSTR-1 of FY 2022-23 filed after the due date for the month/ quarter of March 2023 i.e. 11th or 13th April of 2023. As a result, it got reflected in Table 8A of GSTR-9 of FY 2023-24 but this ITC belongs to previous FY and taxpayer has already shown such ITC in Table 8B of FY 2022-23 as such ITC was reflected in Table -8A of FY 2022-23. How to tackle such a situation?

Ans. As per Q. No. 4 of GSTN Advisory dated 09.12.2024, such ITC shall not be reported in Table 6B to 6H of GSTR 9 and correspondingly it will not auto populate in Table 8B of GSTR- 9 of FY 2023-24.

Q9. Supplier reported the invoice dated FY 2023-24 in GSTR-1 of FY 2024-25 or GSTR-1 of FY 2023-24 filed after the due date for the month/ quarter of March 2024 i.e. 11th or 13th April of 2024. As a result, it is not reflected in Table – 8A of GSTR-9 of FY 2023-24 although invoice belongs to FY 2023-24.

Ans. As per Q. No. 1 of GSTN Advisory dated 9.12.2024, such ITC shall be availed by the taxpayer in subsequent FY as per the conditions of section 16. Such ITC belongs to FY 2023-24 and shall be reported in Table 8C and 13 of GSTR- 9 of FY 2023-24.

Q10. Invoice belongs to FY 2023-24 and ITC has been availed in GSTR-3B of FY 2023-24 itself. But due to non-payment of amount to the supplier within 180 days, such availed ITC was reversed by the taxpayer in FY 2023-24. Payment was made to the supplier in subsequent FY 2024-25 therefore such ITC was reclaimed by the taxpayer in subsequent FY 2024-25.

Ans. As per Q. No. 2 of GSTN Advisory dated 9.12.2024, first time availed ITC to be reported in Table 6 of GSTR-9 and reversal to be reported in Table 7 of GSTR-9. ITC reclaim shall not be reported in Table 8C and 13 of GSTR-9. Time limit as prescribed u/s 16(4) does not apply in this case and hence, such ITC can be reclaimed at any time, therefore such reclaimed ITC shall not be reported in GSTR-9 of FY 2023-24. Such reclaimed ITC shall be reported in GSTR-9 of subsequent FY 2024-25 as per the instruction for Table 13 of the Notified form GSTR -9.

Accordingly, when section 16(4) condition is not applicable on reclaimed ITC then such reclaimed ITC shall be reported in that FY in which it is taken otherwise in table 8C and 13 of GSTR-9.

Q11. How does reporting need to be done if ITC was temporary reversed in table 4B(2) of GSTR-3B of FY 2023-24 due to goods being received in lots or goods not received and reclaimed in subsequent FY?

Ans. As per Q. No. 3 of GSTN Advisory dated 9.12.2024, such reclaimed ITC shall be reported in Table 8C and 13 of GSTR-9 of reporting FY.

CRITICAL RECONCILIATIONS

Throughout this discussion, we have highlighted several common challenges taxpayers typically encounter. However, filing GSTR-9 requires extensive reconciliations to ensure accuracy. I have outlined all the necessary reconciliations that need to be completed to facilitate the filing process.

1. Reconciliation of outward supply among GSTR-1, GSTR-3B and Books of Accounts [Rate -wise]

2. Reconciliation of RCM liability between GSTR-3B and Books of Accounts

3. Details of invoices where any additional liability is discharged through Form DRC-03 [Along with Form DRC-03]

4. Invoice wise details of Amendments / debit notes / credit notes that have been considered in subsequent financial year till specified date

5. Break-up of total ITC availed (normal ITC as well as RCM – ITC) in form GSTR3B as follows:

a. Input services

b. Input

c. Capital goods

6. Reconciliation of ITC availed as per GSTR-3B with books of accounts (GSTIN wise)

7. Party wise & rate wise list on which ITC is availed in Form GSTR-3B on reverse charge basis. Further categorize under registered as well as unregistered.

8. Separate list of the following cases:

a. Where ITC has been reclaimed.

b. ITC is taken based on ISD invoice

9. List of ineligible ITC which requires reversal / already reversed in GSTR-3B upto specified date of subsequent financial year. (Rule wise & section wise)

10. Details of ineligible credit which has been reversed through Form DRC-03 [Along with Form DRC-03]

11. ITC which is availed in subsequent financial year till specified date, related to reporting financial year.

12. List of refund claimed, sanctioned, rejected and pending

13. List of demand of taxes paid or pending based on SCN or order

14. HSN wise summary of outward supplies and inward supplies

• Specified Date is – 30^th November 2024 for FY 2023-24

RELAXATION IN FILING GSTR-9

The Government has provided certain relaxations for taxpayers in filing Form GSTR-9 for FY 2023-24 by making some tables / fields optional. I have outlined all such exemptions below: