-Returns are a way of communicating business data to the

-Different types of returns are prescribed for sending different types of

-In this presentation common errors relating to returns GSTR-1 and GSTR-3B are

-No Revised Return Record wise amendment possible.

Law relating to filing and amendment of GSTR-1

Section Details
37(1) Obligation to file return
37(3) Allows rectification of errors
Proviso to 37 (3) Time Limit to rectify:

Next Year September Month Return

Filing of annual return

whichever is earlier

Reasons for Errors

  • Data Entry Errors
  • Complicated with more number of tables in a return
  • Confusion in table headings
  • Sub-Totals, Grand Totals and Return Totals not generated in the return

Reasons for Errors in GSTR-1

  • Verification of data or cross checking of data entered in returns is very
  • In print out only summary is given in case of GSTR-1 and Invoice Level details are not generated for

Stage of filing GSTR-1

Stages Process Remarks for stage Editing Option
Stage 1 Save Data entered is saved Available

(Reset button to delete all

the data)

 

Stage 2 Submit At this stage tax liabilities and inputs are confirmed and submitted Available
Stage 3 Offset Liability All tax liabilities are

adjusted with credit ledger and cash ledger.

 

Not Available

 

Stage 4 Filing of Return Return is filed finally. Not Available

Amending GSTR-1data

Particulars Table No. Is amendment possible
B2B Sales 4 Yes Table-9
B2C Large-Inter-state 5 –do–
Exports 6 –do–
Note: In GSTR-1 only in Table 4,5&6 invoice wise data is to be entered hence for all these 3 tables, amendment is given in one Table i.e., 9

Amending GSTR-1 data

Particulars Table No. Is amendment possible
B2C Small 7 Yes Table 10
Exempted 8 No
Advances Received 11 Yes Table 11 itself
HSN Summary 12 No
Documents 13 No

Difficulties in GSTR-1

  • Outward supplies have to be divided into 23 types as per form notified and more as per online
  • Number of Tables to be filled as per notified form is 10 whereas it is 19 as per online form

GSTR-1 6 Types of Errors

  • Data entered in wrong table/sub-table/tile.
  • Data entered in correct table but field value is wrongly
  • Data is not at all entered (missed).
  • Data entered
  • Data entered belonging to other dealers
  • Data amended but

GSTR-1 – Common Errors 1 Data entered in wrong table/sub-table/tile

  • Shifting of invoice from one table to another table is not directly possible through Wrong data to be deleted and right data to be entered. (Use Table 9/10
  • B2B Sales entered as B2C Sales
  • RCM purchases entered in B2B Sales
  • Zero rated sales entered as Nil Rated sales
  • 1% sales entered as deemed exports

GSTR-1 – Common Errors
2 Data entered in correct table but field value is wrongly entered

  • Inter State sales entered as Intra State Sales
  • GST Number, Invoice/Dr Note/Cr Number, Tax Amount, Place of supply wrongly entered

These mistakes can be rectified using Table 9/10 in subsequent month GSTR-1

GSTR-1 – Common Errors
3 Data is not entered at all (missed)

  • Invoice is not entered in GSTR-1

These mistakes can be rectified using Table 9/10 in subsequent month GSTR-1

GSTR-1 – Common Errors 4 Data entered twice

  • Invoice is not entered in GSTR-1

These mistakes can be rectified using Table 9/10 in subsequent month GSTR-1

GSTR-1 – Common Errors
5 Data entered belonging to other dealers

  • By mistake invoices belonging to other dealers entered

Possible Solution:

Through amendment invoice cannot be deleted. One way is to issue a credit note for full amount.

GSTR-1 – Common Errors
6 Data amended but wrongly.

  • Data was amended using Table 9/10/11 in subsequent But the amendment was wrongly carried out.

Possible Solution:

A particular record or invoice can be amended only once. Issuing a credit note or debit note may be one option.

GSTR-1 – Common Errors

  • Data was amended using Table 9/10/11 in subsequent But the amendment was wrongly carried out.

Possible Solution:

A particular record or invoice can be amended only once. Issuing a credit note or debit note may be one option.

GSTR-1
Things that cannot be amended/rectified

  • A bill of supply cannot be changed as a Tax Invoice
  • Type of Export – With /Without payment cannot be amended
  • Invoice Date cannot be shifted to another
  • One Place of Supply (POS) cannot be split into 2 by way of
  • A record cannot be amended more than once
  • HSN and Document summary cannot be amended

GSTR-3B
Common Errors

  • Next Year September Month Return
  • Filing of annual return whichever is earlier

Law relating to amendment of GSTR-3B

Section Details
39(1)

Rule 61

 

Obligation to file return
39(9) Allows rectification of omission or incorrect particulars

1) Next Year September Month Return

2) Filing of annual return whichever is earlier

Common Errors in 3B

  • Many Press Notes, Circulars, Notifications and other material issued. One may refer to those sources for more
  • One need to follow the GSTIN website rules and regulations and input validation controls while filing the

Common Errors in 3B

Under reporting in 3B Possible Solution
Taxable Value Tax

ITC

Add in the subsequent 3B

Add in the subsequent 3B and pay interest if applicable Add in the subsequent 3B

Over reporting in 3B Possible Solution
Taxable Value Tax

 

ITC

Reduce in the subsequent 3B

Reduce in the subsequent 3B and not eligible for any interest. If not possible seek refund.

Reduce in the subsequent 3B

Common Errors 3B Examples

Month Correct Taxable Value Value Reported in 3B
April 100.00 80.00
May 150.00 170.00 (150+deficit20)

Month IGST Amount Value Reported in 3B
May 50.00 60.00
June 10.00 0.00

(10- excess 10)

Comparison of 3B and 1values

  • Possible Scenarios
GSTR-1 GSTR-3B Action
Correct Correct No issue
Correct Wrong Adjust the difference in next 3B
Wrong Correct Amend the difference in next R1
Wrong                      Wrong                          Adjust / Amend 3B and R1

Notices may be received for differences between R1 and 3B and 2A/2B with 3B.

Keep amendments / adjustments data ready to reply for those notice.

Common Errors R1 and 3B

  • IGST Sales reported correctly in R1 but reported as CGST/SGST sales in 3B or vice versa
  • Credit Notes reported in R1 but not reduced in 3B

Precautions

  • Use trusted software to prepare and file GST return returns
  • Cross check the data uploaded to website before adjusting liability
  • Data relating to amendments /adjustments made in subsequent returns should be recorded separately in books of accounts
  • Un reported Invoices in 2A/2B should be informed to vendors regularly
  • Read instructions to returns and various notifications and circulars issued regarding filing of returns and amendments thereof

Author Bio

More Under Goods and Services Tax

One Comment

  1. CA JAYANT BHASKAR SHINDE says:

    Very informative article Sir. Thank a lot. I still have one query. What is to be done if my supplier has by mistake shown his sales to me under B 2 C and not under B 2 B. It is pertaining to the months Jan to March 2021. If he shows these bills in current months returns his 1 and 3 B will mismatch. Is there any way to solve this issue? Please Guide.

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