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GSTR-2 is the details of inward supplies of goods or services to be furnished by registered taxpayer on a monthly basis. The GSTR-2 would be prepared by registered taxpayer by acting upon on auto-populated details from GSTR-1,5,6, 7,8 filed by the corresponding supplier/ Non-Resident taxable persons/ ISD/ Tax Deductor/ Tax Collector and by adding missing /other details as applicable. The registered taxpayer can avail Input Tax Credit (ITC) for eligible inward supplies.
Every registered person, other than an Input Service Distributor or a Non-Resident taxable person or a person paying tax under the provisions of section 10 (Composition taxable person) or section 51 (TDS) or section 52 (TCS), is required to file Form GSTR-2 (Statement of Inward Supplies), on a monthly basis, prepared on the basis of auto-populated details from the Form GSTR-1 of the suppliers after accepting, modifying, rejecting, or keep pending such data.
Receiver taxpayers can also add inward supplies and credit or debit notes received for supplies that are not declared by the supplier taxpayer in Form GSTR-1.
Recipient is also required to declare his claim of ITC on inward supplies in Form GSTR-2.
Form GSTR-2 needs to be filed even if there is no business activity (Nil Return) during a given tax period.
GSTR-2 How to create, Submit and file details of inward supplies
Yes, the following taxpayers are exempt from filing Form GSTR-2:
The due date for filing Form GSTR-2 is the 15th of the month succeeding the tax period.
Example: The goods and/or services received during the month of January, should be filed between 11th and 15th of February. In other words, for the supplies received in the month M, Form GSTR-2 shall be filed on or before the 15th day in month M+1. However, action can be taken on auto-drafted details only after 11th of month succeeding the tax period.
Yes, date of filing of Form GSTR-2 can be extended by the Board/Commissioner by notification.
Yes, a receiver tax payer is charged late fee for filing Form GSTR-2 after the due date.
Late fee for filing Form GSTR-2 after the due date is auto calculated. Payment of late fee is not required before filing of Form GSTR-2. The fee must be paid before filing of Form GSTR-3, without which the return is considered invalid.
Late fees payable is Rs 100/- for every day (as per CGST Act) during which such failure continues subject to maximum of Rs 5000/-, (fees as per SGST Act will be charged separately as per respective SGST Act).
The inward supplies include all inward supplies of goods and/ or services, including inward supplies of services and goods on which the tax is payable on reverse charge basis.
Normal taxpayers cannot file Form GSTR-2 before the due date of the filing of Form GSTR-1 of the current tax period.
However, following are the exception scenario for filing before due date:
a. Casual taxable person
b. Surrender of Registration by Normal Taxpayer Surrender of Registration by Normal Taxpayer
However, taxpayer who has applied for cancellation/ surrender of registration would be allowed to file GSTR-2 only after confirmation of cancellation application.
ITC can be claimed up to the due date of filing of the return of the tax period ending September of the subsequent financial year in which the original invoice/ debit note was issued or the annual return of the subsequent financial year is filed, whichever is earlier. If the invoice date is after this limitation period, credit is not allowable.
Pre-conditions for filing of GSTR-2 are:
After Form GSTR-2 is filed:
i. The CBEC (Central Board of Excise and Customs – the central tax authority)
ii. Tax authority of jurisdictional State or UT of
In the post-login mode, you can access Form GSTR-2 return by navigating to the Returns Dashboard and selecting the given financial year and return filing period.
Path: Services > Returns > Returns Dashboard
For a detailed description along with screenshots, please refer to the User Manual.
In case there are no inward supplies details to be furnished for the month simply take action on auto-populated details if any and submit GSTR-2
You need to generate GSTR-2 summary to update the summary on the tiles and to view the number of auto-drafted invoices/ credit note / debit notes etc. on the tile.
Preview button will download the draft Summary page of your GSTR-2 for your review. It is recommended that you download this Summary page and review the summary of entries made in different sections with patience before submitting the GSTR-2. The PDF file generated would bear watermark of draft as the details are yet to be submitted.
Preview button will download the Summary page of your GSTR-2 in PDF format. The PDF file generated would bear watermark of final GSTR-2. You can save these for quick future reference.
After you have taken action on the invoices (Accept. Reject, Modify/ Mark as pending), you need to:
You can file GSTR-2 using DSC, E-Sign or EVC.
Digital Signature Certificate (DSC)
Digital Signature Certificates (DSC) are the digital equivalent (that is electronic format) of physical or paper certificates. A digital certificate can be presented electronically to prove one’s identity, to access information or services on the Internet or to sign certain documents digitally. In India, DSC are issued by authorized Certifying Authorities.
The GST Portal accepts only PAN based Class II and III DSC.
To obtain a DSC, please contact any one of the authorised DSC-issuing Certifying Authorities: http://www.cca.gov.in/cca/?q=licensed_ca.html
Electronic Signature (E-Sign)
Electronic Signature (E-Sign) is an online electronic signature service in India to facilitate an Aadhar holder to digitally sign a document.
A One Time Password (OTP) will be sent to mobile phone number that is registered with Aadhar at the time of digitally signing documents at the GST Portal.
Electronic Verification Code (EVC)
The Electronic Verification Code (EVC) authenticates the identity of the user at the GST Portal by generating a OTP. The OTP will be sent to the mobile phone number of the registered mobile phone of Authorized Signatory filled in part A of the Registration Application.
Yes, you can preview the Form GSTR-2 before submitting on the GST Portal.
Ans: The GSTIN of the supplier, invoice number, date, reverse charge flag 8, POS cannot be modified, in the invoice details. If one wants to change these fields one has to reject such auto-populated details and add the correct details as missing invoice details.
All B2B supply details uploaded by a supplier taxpayer will be displayed to the receiver taxpayer (you) on a near real time basis in his GSTR-2A/ GSTR-2. Once the supplier taxpayers file their Form GSTR-1/5 and due date of furnishing Form GSTR-1 is over, you can accept/delete/modify each and every invoice received from such supplier to prepare your Form GSTR-2. You can also choose to keep an invoice pending for action; pending invoices will be rolled over to next tax period return of the receiver taxpayer.
As a receiver taxpayer, you can also add B2B invoices in your Form GSTR-2 that have been missed by the supplier taxpayer. You can add these missed invoices after the due date of Form GSTR-1 (usually 11th day of M+1 onwards). You can add the invoices till the actual date of filing of Form GSTR-2.
Any such invoice from a supplier accepted by you in your Form GSTR-2 becomes part of your Form GSTR-2 Return and claimed credit would be posted upon GSTR-3 submission
Note: It is assumed that the supplier has filed Form GSTR-1/5 successfully since the invoice is available to you for action in your Form GSTR-2.
The modified invoice becomes part of your Form GSTR-2 Return in its modified form.
Additionally, the modified invoice flows to the GSTR-1/ 1A/5 of the counterparty (in this case the corresponding supplier taxpayer) for acceptance/ rejection of the modification made by you.
Note: It is assumed that the supplier has filed Form GSTR-1/5 successfully since the invoice is available to you for action in your Form GSTR-2.
The rejected invoices are auto-populated to the related supplier and will be available to him for acceptance of Rejection / amendment in his GSTR-1A/GSTR-1/5.
Note: It is assumed that the supplier has filed GSTR-1 successfully since the invoice is available to you for action in your GSTR-2.
There are two possible scenarios:
Yes, you need to take action on every outward supply mentioned by your supplier taxpayers in their valid Form GSTR-1 of the same period or previous period which are available in his GSTR-2A/2 for the purpose of filing your Form GSTR-2. The taxpayer can take the action of keeping pending an invoice which has not been received by the recipient in the concerned tax period. The invoices kept pending are rolled over to the next tax period GSTR-2A/2.
In such cases, where there is a discrepancy between the tax paid by the supplier taxpayer and the credit claimed by the receiver taxpayer, a mismatch report is generated that is communicated to both the supplier and receiver, and is also available to the concerned jurisdictional tax officer(s).
If the supplier taxpayer does not rectify the amount as communicated in the mismatch report, then the amount of discrepancy shall be added to the output tax liability of the recipient in their return for month M+2 where M is the tax period. The recipient will also pay interest at the prescribed rate on the amount of credit from the date of availing the credit till the date of addition to the output liability.
Such an action must be taken by the supplier before filing of return for the month September of the succeeding financial year or filing of the annual return GSTR 9 of the financial year in which the supply was made, whichever is earlier.
The recipient becomes eligible to reduce, from his output tax liability, the amount which was added as a result of non-declaration and payment of tax for the same supply by the supplier.
The interest paid by the recipient in this regard shall be refunded to the recipient by crediting the amount in the corresponding head of his electronic cash ledger. The amount of interest refunded shall not exceed the amount of interest paid by the supplier.
Pre-GST invoices cannot be added however Pre-GST debit/credit note may be added.
A taxpayer cannot add invoices prior to his date of registration in GSTR-2 and claim credit.
Once a normal taxpayer gets converted into a compounding taxpayer, the invoice related data entered in Form GSTR-2 (after the date of conversion) can only be for invoices/ documents dated prior to the date of conversion.
Yes, the system will check for the duplication of an ITC claim. The duplication check of an invoice will be at the GSTN Supplier, Invoice Number, and Financial Year level. This check will be performed at the time of data validation before filing the Form GSTR-2.
In case of duplicate invoices, system will display an error message. Non-duplicated invoices will be added to the return post validation.
No, it is not possible to modify or reject (delete) an invoice once you have accepted it and filed your Form GSTR-2.
No. You are not allowed to revise your action post submission of GSTR-2
As a recipient, I can request the supplier to either accept the rejection or amend the invoices rejected by me.
In case of acceptance of rejection, the invoice can be added by supplier as a new invoice or by the recipient as missing invoice.
In case of amendment of invoices, it will be populated to the recipient as modified invoices to accept/ reject the amendment.
No, Form GSTR-2 for the current tax period cannot be filed if valid GSTR-3 of immediate preceding tax period is not filed.
Yes, you can avail the credit claimed in Form GSTR-2 to discharge your liabilities. However, it is important to note that in the event of any reversal of ITC in future due to mismatch resulting from the fact that return is not filed or tax is not paid by the supplier, interest will be levied on the excess ITC claimed by a receiver taxpayer from the date of filing of GSTR-3 to the day the receiver taxpayer discharges the excess liability along with interest.
Yes, you can rectify an error or omission that remained unmatched in the return of the tax period in which mismatch report is communicated by the GST portal. Any other error or omission which does not involve any matching can be corrected in the return of the tax period in which it is noticed till the due date of the filing of the September return of the subsequent financial year or filing of the annual return of financial year related to the transaction, during which such an error or omission is noticed. You will be required to pay the full tax and applicable interest on the error/ omission in the return in which you are furnishing the details.
Revision of declarations/ information in GSTR-2 is possible for submitted GSTR-2 only through amendment tables of subsequent tax period Form/ return.
You need to first click on Edit button to see the system calculated ITC. Click back and then accept it.
Or else, you can click on Save button to change the status to accepted.
There is no way to differentiate between invoices on which action can be taken. You need to manually select and check if action can be taken on the invoice.
You can change status of the invoice from modify, accept, reject any number of times till submission. However, once the invoice has been modified and you wish to revert to original details, you need to first Reject the modified invoice. The status would now be changed to Rejected with original details. Same can be accepted now.
If supplier’s Form GSTR-1 is filed after filing of Form GSTR-2 by the receiver, the missing invoices added by the receiver will be auto-populated in the Form GSTR-1 of the supplier. He has to take action of acceptance/ rejection/ keep pending on the auto-populated invoices and furnish other information regarding his outward supplies and file Form GSTR-1.
Acceptance of auto drafted invoices or changes by the supplier in his Form GSTR-1A will form part of GSTR-3 of the supplier of M tax period. This happens provided such acceptance is done, followed by successful filing of Form GSTR-1, before the creation of GSTR-3 of M tax period.
Please read question no. 7 intsead of question no. 20 in my earlier comment.
What is the source of this FAQ?
In question no. 20, you have mentioned that ITC shall be added in the output tax liability of recipient in the month’s (M+2) return, it means three months period is allowed for rectification by supplier. It is not mentioned anywhere in Act/Rules. Please inform basis of this.