Hello folks, after learning about the basics of GST annual return i.e. FORM GSTR 9 in the last article, (Read at https://taxguru.in/goods-and-service-tax/gstr-9-analysis.html) and with the overwhelming response, here we present the second article of the series “Unraveling GSTR 9- A clause by clause analysis” Part II.
In this series of articles, we will be unleashing what’s lying beneath FORM GSTR 9, Form GSTR 9C, Form GSTR 9A by performing a clause-by clause analysis as an attempt to create awareness among the professionals.
Since, GSTR 9C will be based on GSTR 9, we will begin by discussing FORM GSTR 9 first.
The Form GSTR 9 is divided into 6 parts with 19 tables, let us understand the content of each table in detail:
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FORM GSTR-9 |
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| Pt I | Basic Details | Analysis |
| 1 | Financial Year | The details of the FY for which the annual return is being filled is required to be mentioned here. In for the first year of GST, although it was implemented from July 1, 2017, still the FY would be from April 17 to March 2018, though the details would be punched from July 1, 2017 to March 31, 2018. |
| 2 | GSTIN | Since, the annual return is to be filled separately for all the registrations under same PAN, the GSTIN of the specific unit is to be provided. |
| 3A | Legal Name | The legal name under which the business activities are being carried out. The trade name may differ from the legal name such as ‘D-mart’ may be the trader name but the legal name is “Avenue supermarts Limited” or for instance, a proprietor CA firm may be Jain Kanika & Company, that’s the trade name, but the legal name is Kanika Jain. In case the assessee is not having any trade name then in such cases the table 3B shall be left blank. |
| 3B | Trade Name (if any) |
Part II of the GSTR 9 captures the details of the outward and inward supplies made during the financial year. This part consists of 2 tables:
Table 4- It captures the details of advances, and outward supplies made during the financial year on which tax is payable by the registered person including the inward supplies on which tax is to be paid by him under reverse charge basis.
The contents of table 4 is as follows:
| Pt II | Details of Outward and inward supplies made during the financial year | |||||
| (Amount in ₹ in all tables) | ||||||
| Nature of Supplies | Taxable Value | Central Tax | State Tax/UT Tax | Integrated Tax | Cess | |
| 1 | 2 | 3 | 4 | 5 | 6 | |
| 4 | Details of advances, inward and outward supplies made during the financial year on which tax is payable | |||||
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Instructions- 4A |
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| As per the instructions provided in the CGST Rules, 2017, Table 5, Table 7 along with respective amendments in Table 9 and Table 10 of FORM GSTR-1 may be used for filling up these details. | ||||||
| A | Supplies made to un-registered persons (B2C) | • In this row the sum total of outward (which are liable to GST) made to unregistered person (both B2C small and B2C Large) is required to be disclosed.
• Both intra-state as well as inter-state supplies needs to be disclosed here. • Supplies made to UIN holders will not be reported here, though they are not a ‘registered person’. • The disclosure is to be made net of credit and debit notes issued in respect of such supplies during the FY 2017-18. • Further, any amendments made in the details of B2C supplies during the FY should be disclosed. • Credit and debit notes issued in respect of such supplies after the end of the FY 17-18 i.e. in FY 2018-19 will not be reduced from here and will be reflected in Part V of the FORM GSTR 9. |
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Instructions-4B |
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| Aggregate value of supplies made to registered persons (including supplies made to UINs) on which tax has been paid shall be declared here. These will include supplies made through E-Commerce operators but shall not include supplies on which tax is to be paid by the recipient on reverse charge basis. Details of debit and credit notes are to be mentioned separately. Table 4A and Table 4C of FORM GSTR-1 may be used for filling up these details. | ||||||
| B | Supplies made to registered persons (B2B) | • In this row the sum total of outward (which are liable to GST) supply made to registered person is required to be disclosed.
• Both intra-state as well as inter-state supplies needs to be disclosed here. • Merchant exporting in terms of notification 41/2017 IGST-Rate dated 23rd October 2017, will be reported here. • Supplies made to UIN holders will be reported here, though they are not a ‘registered person’. • shall not include supplies on which tax is to be paid by the recipient on reverse charge basis. • The disclosure is to be made without taking any impact of issued in respect of such supplies during the FY 2017-18 i.e. gross of credit and debit notes. • The credit/ debit notes issued and reported within the FY 2017-18 would be disclosed in table 4I and 4J respectively. • Amendments made in the details furnished within the FY 2017-18 will NOT be disclosed here and will be shown in table 4K or 4L. • Credit notes, debit notes and other amendments relating to FY 17-18, made or disclosed in FY 18-19 would be disclosed in part V of GSTR 9. |
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Instructions-4C |
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| Aggregate value of exports (except supplies to SEZs) on which tax has been paid shall be declared here. Table 6A of FORM GSTR-1 may be used for filling up these details. | ||||||
| C | Zero rated supply (Export) on payment of tax (except supplies to SEZs) | • Only exports (Goods as well as services) with payment of tax is to be disclosed here.
• Supplies made to SEZ on payment of tax will be disclosed in table 4D. • There is a difference in ‘deemed exports’ and ‘exports’, only ‘actual exports’ on payment of tax will be shown here. Deemed exports will be disclosed in table 4E. • Also, merchant exporting in terms of notification no. 41/2017 IGST-Rate dated 23rd October 2017, will not be reported here. IT will be reported in the table 4B above. • Advances received for export of services will not be included here. If exports against such advances is made during the year then disclosure is required. • The credit note, debit note or amendments made to the reported figures during the FY 2017-18 will be disclosed in table 4I to 4L. • The credit note, debit note or amendments relating to FY 17-18 but disclosed in FY 18-19 will be disclosed in Part V. • Zero-rated supplies without payment of tax under LUT or bond will be disclosed in table 5. |
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Instructions-4D |
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| Aggregate value of supplies to SEZs on which tax has been paid shall be declared here. Table 6B of GSTR-1 may be used for filling up these details. | ||||||
| D | Supply to SEZs on payment of tax | • Supply of goods as well as services with payment of tax to the SEZ unit or developer is to be disclosed here.
• Supplies made to SEZ units or developer without payment of tax will be disclosed in table 5. • The credit note, debit note or amendments made to the reported figures during the FY 2017-18 will be disclosed in table 4I to 4L. • The credit note, debit note or amendments relating to FY 17-18 but disclosed in FY 18-19 will be disclosed in Part V. |
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Instructions-4E |
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| Aggregate value of supplies in the nature of deemed exports on which tax has been paid shall be declared here. Table 6C of FORM GSTR-1 may be used for filling up these details. | ||||||
| E | Deemed Exports | • Deemed exports as referred in section 147 read with notification no. 48/2017-CT dated October 18, 2017 would be disclosed here.
• Only 4 transactions are regarded as ‘deemed exports viz. 1. Supply of goods against advance authorization 2. Supply of capital goods against EPCG authorization 3. Supply of goods to EOU (export-oriented undertakings) ( 4. Supply of gold by bank/PSU specified in Notification no. 50/2017-Customs dated 30th June 2017. • The credit note, debit note or amendments made to the reported figures during the FY 2017-18 will be disclosed in table 4I to 4L. • The credit note, debit note or amendments relating to FY 17-18 but disclosed in FY 18-19 will be disclosed in Part V. |
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Instructions-4F |
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| Details of all unadjusted advances i.e. advance has been received and tax has been paid but invoice has not been issued in the current year shall be declared here. Table 11A of FORM GSTR-1 may be used for filling up these details. | ||||||
| F | Advances on which tax has been paid but invoice has not been issued (not covered under (A) to (E) above) | • For supplier of goods having aggregate turnover upto INR 1.5 crores, only those advances which were received till October 13, 2017 on which tax has been paid, but in respect of which the invoice has not been issued till March 31, 2018, would be shown here. (N.N. 40/2-17-CT dated Oct 13, 2017).
• For supplier of goods having aggregate turnover EXCEEDING INR 1.5 crores, only those advances which were received till November 10, 2017 on which tax has been paid, but in respect of which the invoice has not been issued till March 31, 2018, would be shown here. (NN 66/2017-CT dated Nov 15, 2017). • For supplier of services, reporting is required for those advances which remain unadjusted till March 31, 2018. • The tax paid by the recipient on account of advance payment to the supplier for the inwards supplies on which tax is to be paid under reverse charge basis, will not be included here but will be shown in table 4G. |
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Instructions-4G |
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| Aggregate value of all inward supplies (including advances and net of credit and debit notes) on which tax is to be paid by the recipient (i.e.by the person filing the annual return) on reverse charge basis. This shall include supplies received from registered persons, unregistered persons on which tax is levied on reverse charge basis. This shall also include aggregate value of all import of services. Table 3.1(d) of FORM GSTR-3B may be used for filling up these details. | ||||||
| G | Inward supplies on which tax is to be paid on reverse charge basis | • Taxes paid under reverse charge on inward supplies, is required to be reported.
• Inward supplies from unregistered person on which reverse charge was leviable under section 9(4) of CGST Act, 2017 or Section 5(4) of the IGST Act, 2017, till October 13, 2017. (N.N. 38/2017-CT(R) dated Oct 13, 2017). • Inward supplies of goods or services notified under section 9(3) of CGST Act, 2017 or section 5(3) of IGST Act, 2017. • Import of services including ocean freight and OIDAR services. • Taxes paid on import of goods shall not be reported here as the same is not paid under reverse charge basis. |
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| H | Sub-total (A to G above) | Auto-populated | ||||
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Instructions-4I |
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| Aggregate value of credit notes issued in respect of B to B supplies (4B), exports (4C), supplies to SEZs (4D) and deemed exports (4E) shall be declared here. Table 9B of FORM GSTR-1 may be used for filling up these details. | ||||||
| I | Credit Notes issued in respect of transactions specified in (B) to (E) above (-) | • Credit notes issued during the FY 17-18 and disclosed in GSTR 1 till march 2018, will be reported here.
• Credit notes issued in respect of B2C domestic supplies will not be shown here and will be adjusted in table 4A. • Financial credit notes, not bearing any GST impact will not be reported here. • Credit notes issued during the FY 17-18 but reported in FY 18-19, will be reported in part V. • Credit notes issued during the FY 18-19 for supplies relating to FY 17-18, two views are there: 1. Report it in part V of GSTR 9 and the corresponding impact will be in table 5E of GSTR 9C, or 2. Do not disclose at all in GSTR 9 of the FY 2017-18 and disclose in the annual return of FY 18-19 only. |
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Instructions- 4J |
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| Aggregate value of debit notes issued in respect of B to B supplies (4B), exports (4C), supplies to SEZs (4D) and deemed exports (4E) shall be declared here. Table 9B of FORM GSTR-1 may be used for filling up these details. | ||||||
| J | Debit Notes issued in respect of transactions specified in (B) to (E) above (+) | • Debit notes issued during the FY 17-18 and disclosed in GSTR 1 till march 2018, will be reported here.
• Debit notes issued in respect of B2C domestic supplies will not be shown here and will be adjusted in table 4A. • Financial debit notes, not bearing any GST impact will not be shown here. • Debit notes issued during the FY 17-18 but reported in GSTR 1 of FY 18-19, will be reported in part V. • Debit notes issued during the FY 18-19 for supplies relating to FY 17-18, two view are possible: 1. Report it in part V and the impact will be table 5O of GSTR 9C as no specific column is provided in this regard in GSR 9C, or 2. Do not disclose if GSTR 9 of the FY 17-18 and just show in the GTSR 9 of FY 18-19. |
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Instructions- 4K & 4L |
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| Details of amendments made to B to B supplies (4B), exports (4C), supplies to SEZs (4D) and deemed exports (4E), credit notes (4I), debit notes (4J) and refund vouchers shall be declared here. Table 9A and Table 9C of FORM GSTR-1 may be used for filling up these details. | ||||||
| K | Supplies / tax declared through Amendments (+) | • Details of amendments made during the FY 17-18, in respect of supplies made with payment of tax, which increase the output liability will be shown here.
• Amendments made in 2018-19 in relation to supplies made in 17-18 will be disclosed in part V. • This table has to be filed with the differential value (i.e. original supply was shown as Rs. 100 in GSTR-1 which was subsequently modified to Rs. 1000. This table will have differential value i.e. Rs. 900) |
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| L | Supplies / tax reduced through Amendments (-) | • Details of amendments made during the FY 17-18, in respect of supplies made with payment of tax, which reduces the output liability will be shown here.
• Amendments made in 2018-19 in relation to supplies made in 17-18 will be disclosed in part V. |
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| M | Sub-total (I to L above) | Auto-populated | ||||
| N | Supplies and advances on which tax is to be paid (H + M) above | Auto-populated | ||||
Table 5- It captures the details of Outward supplies made during the financial year on which tax is not payable such as:
- Exempt supplies
- Nil rated supplies
- Zero-rated supplies.
| 5 | Details of Outward supplies made during the financial year on which tax is not payable | |
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Instructions-5A |
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| Aggregate value of exports (except supplies to SEZs) on which tax has not been paid shall be declared here. Table 6A of FORM GSTR-1 may be used for filling up these details. | ||
| A | Zero rated supply (Export) without payment of tax | • Exports (both goods and services) made without payment of tax under bond or LUT is to be reported here.
• The Credit note or debit note issued during the FY 17-18 are not to be adjusted here and would be disclosed in table 5H and 5I respectively. • Amendments made to the details reported in GSTR 1, during the FY 17-18 would be reported in table 5J or 5K. • Amendments made in FY 18-19 in respect of export supplies reported in 17-18 would be disclosed in part V. • Supplies made to SEZ without payment of tax, is not to be reported here and would be reported in table 5B. • Exports on payment of tax would be reported in table 4C above. |
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Instructions-5B |
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| Aggregate value of supplies to SEZs on which tax has not been paid shall be declared here. Table 6B of GSTR-1 may be used for filling up these details. | ||
| B | Supply to SEZs without payment of tax | • Supply to SEZ units or SEZ developers, without payment of tax under bond or LUT is to be reported here.
• The Credit note or debit note issued during the FY 17-18 are not to be adjusted here and would be disclosed in table 5H and 5I respectively. • Amendments made to the details reported in GSTR 1, during the FY 17-18 would be reported in table 5J or 5K. • Amendments made in FY 18-19 in respect of export supplies reported in 17-18 would be disclosed in part V. • Exports are not to be reported here and would be reported in table 4C or 5B. • Supplies to SEZ on payment of tax would be reported in table 4D above. |
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Instructions-5C |
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| Aggregate value of supplies made to registered persons on which tax is payable by the recipient on reverse charge basis. Details of debit and credit notes are to be mentioned separately. Table 4B of FORM GSTR-1 may be used for filling up these details. | ||
| C | Supplies on which tax is to be paid by the recipient on reverse charge basis | • The outward supplies on which the tax is to be paid by recipient on reverse charge basis.
• The supplies of goods or services notified under section 9(3) of the CGST Act, 2017 and section 5(3) of the IGST Act, 2017, via NN NN 4/2017-CT(R) tax dated Jun 28, 2017 and NN 13/ 2017-CT(R) tax dated Jun 28, 2017 as amended from time to time, are to be reported here. • Outward supplies notified under aforesaid notifications but which remains exempt by virtue of NN 12/ 2017-CT(R) tax dated Jun 28, 2017, such as services by arbitral tribunal, firm of advocates or senior advocates to non-business entities etc., will not be reported here. These would be reported in Table 5D. • Details of credit notes and debit notes are to be reported separately in table 5H and 5I respectively. • Details of amendments during the FY 17-18 would be reported in table 5J and 5K. |
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Instructions-5D, 5E, 5F |
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| Aggregate value of exempted, Nil Rated and Non-GST supplies shall be declared here. Table 8 of FORM GSTR-1 may be used for filling up these details.
The value of “no supply” shall be declared under Non-GST supply (5F). |
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| D | Exempted | • Value of supply exempted under section 11 of the CGST Act, 2017 or Section 6 of the IGST Act, 2017 by virtue of NN 2/2017-CT(R) tax dated Jun 28, 2017 for goods and NN 12/ 2017- CT(R) tax dated Jun 28, 2017 for services.
• Nil-rated supplies will not be reported here. Although the term ‘Nil rated’ has not been defined under law and the term ‘exempt supply’ includes nil-rated supplies, still it is understood to mean those supplies which contains 0% tax rate in the tariff itself, and on the contrary, the exempted supply would mean the supply which has been exempted under section 11. • Zero-rated supplies will not be reported here as the same includes only ‘EXPORTS’ and supply to SEZ. These would be shown in table 4C and 4D or table 5A and 5B respectively. • Non-taxable supply such as 5 petroleum products and alcoholic liquor for human consumption will be reported in table 5F. • Supply to merchant exporters as referred to in NN 40/ 2017-Central tax (Rate), dated 23-Oct-2017 notified a lower rate of 0.05% CGST for intra-State supplies made to registered merchant exporters, will not be included here although the exemption is issued under section 11(1). The same would be reported in table 4B. • Invoice-cum-bill of supply issued by a Registered Person supplying taxable as well as exempt supply shall bifurcate the exempt supplies to be reported in this Table. |
| E | Nil Rated | • Supplies which contains 0% tax rate in the tariff NN 1/ 2017-CT(R) dated Jun 28, 2017 for goods and NN 11/2017- CT(R) dated Jun 28, 2017 for services, will be reported here.
• Non-taxable supplies shall not be reported here. |
| F | Non-GST Supply (includes ‘no supply’) | • Non-taxable supply such as 5 petroleum products and alcoholic liquor for human consumption will be reported here.
• As per instructions, a transaction which is not regarded as supply by virtue of schedule III, will be reported here. • High sea sales as referred to in Circular No. 33/ 2017-Customs, dated Aug 30, 2017, would be reported here. • Sales from bonded warehouse as referred to in Circular No. 3/ 1/ 2018-IGST dated May 25, 2018, would be reported here. |
| G | Sub-total (A to F above) | Auto-populated |
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Instructions-5H |
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| Aggregate value of credit notes issued in respect of supplies declared in 5A,5B, 5C, 5D, 5E and 5F shall be declared here. Table 9B of FORM GSTR-1 may be used for filling up these details. | ||
| H | Credit Notes issued in respect of transactions specified in A to F above (-) | • Credit notes issued during the FY 17-18 and disclosed in GSTR 1 till march 2018, will be reported here. • Financial credit notes, not bearing any GST impact will not be reported here. • Credit notes issued during the FY 17-18 but reported in GSTR 1 of FY 18-19, will be reported in part V. • Credit notes issued during the FY 18-19 for supplies relating to FY 17-18, two views are there: 1. Report it in part V of GSTR 9 and the corresponding impact will be in table 5E of GSTR 9C, or 2. Do not disclose at all in GSTR 9 of the FY 2017-18 and disclose in the annual return of FY 18-19 only. |
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Instructions-5I |
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| Aggregate value of debit notes issued in respect of supplies declared in 5A, 5B, 5C, 5D, 5E and 5F shall be declared here. Table 9B of FORM GSTR-1 may be used for filling up these details. | ||
| I | Debit Notes issued in respect of transactions specified in A to F above (+) | • Debit notes issued during the FY 17-18 and disclosed in GSTR 1 till march 2018, will be reported here. • Financial debit notes, not bearing any GST impact will not be shown here. • Debit notes issued during the FY 17-18 but reported in GSTR 1 of FY 18-19, will be reported in part V. • Debit notes issued during the FY 18-19 for supplies relating to FY 17-18, two view are possible: 1. Report it in part V and the impact will be table 5O of GSTR 9C as no specific column is provided in this regard in GSR 9C, or 2. Do not disclose if GSTR 9 of the FY 17-18 and just show in the GTSR 9 of FY 18-19. |
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Instructions-5J & 5K |
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| Details of amendments made to exports (except supplies to SEZs) and supplies to SEZs on which tax has not been paid shall be declared here. Table 9A and Table 9C of FORM GSTR-1 may be used for filling up these details. | ||
| J | Supplies declared through Amendments (+) | • Details of amendments made during the FY 17-18, which increases the value of supply will be shown here. • Amendments made in 2018-19 in relation to supplies made in 17-18 will be disclosed in part V. |
| K | Supplies reduced through Amendments (-) | • Details of amendments made during the FY 17-18, which reduces the value of supply will be shown here.
• Amendments made in 2018-19 in relation to supplies made in 17-18 will be disclosed in part V. |
| L | Sub-Total (H to K above)2 | Auto-populated |
| M | Turnover on which tax is not to be paid (G + L above) | Auto-populated |
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Instructions-5N |
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| Total turnover including the sum of all the supplies (with additional supplies and amendments) on which tax is payable and tax is not payable shall be declared here. This shall also include amount of advances on which tax is paid but invoices have not been issued in the current year. However, this shall not include the aggregate value of inward supplies on which tax is paid by the recipient (i.e. by the person filing the annual return) on reverse charge basis. | ||
| N | Total Turnover (including advances) (4N + 5M – 4G above) | • Total turnover including the sum of all the supplies (with additional supplies and amendments) on which tax is payable and tax is not payable shall be declared here
• This shall also include the amount of advance on which tax is paid but invoices have not been issued in the current year. • However, this Table shall not include the aggregate value of inward supplies on which tax is paid by the recipient (i.e. by the person filing the annual return) on reverse charge basis. |
This is the second part of the series of article on GSTR-9, “unraveling GSTR 9- A clause by clause analysis by CA Vishal Jain”, there is much more to explore in these annual return and GST audits and the suspense will hold its breath till publishing of the next article.
Special thanks to CA Ashish Chaudhary Sir for vetting this.
The members who have already started assisting in filing of the Form-9 or conducting the GST audits and even those who are planning to start these activities could refer to this write-up and give us their comments on any practical issues arising therefrom.
The author is a qualified chartered accountant and can be reached at: Email: vishal@hiregange.com
Disclaimer: The information cited in this Guide has been drawn primarily from the www.cbec.gov.in and other sources. Readers are requested to note Sl. Nos / Table no’s etc., wherever mentioned refer to the appropriate part / table of the relevant Forms. While every effort has been made in this write-up to avoid any kind of errors or omissions. It is likely that errors may have crept in. Any mistake, error or discrepancy noted by the reader should be brought to the notice of the author so that suitable edits / corrections shall be effected in the next edition. It is notified that the author will not be responsible for any damage or loss to anyone of any kind or in any manner whatsoever by the use of this write-up.
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Query is with regard to gstr9. Tax paid was correct and properly disclosed in gstr3b. In gstr 1 correct taxable value was shown. However invoice value was shown same as taxable value. ( taxable value =1000 invoice value should have been shown as 1180 but was shown as 1000 only). Out of8 invoices we were able to correct 6 invoices in gstr 1 March 19.
In gstr 9 what will be the impact on pt II 4B, pt 4 k and pt V
WHETHER INCOME CREDITED TO PROFIT & LOSS & TRADING ACCOUNT LIKE INTEREST INCOME INCLUDING BANK INTEREST, DIVIDEND INCOME,RENT INCOME AND OTHER MISCELLANEOUS INCOME . and EXPENSES DEBITED TO PROFIT & LOSS & TRADING ACCOUNT IS TO BE REPORTED IN GSTR 9/9A & 9C
It is clear that for outward supplies figures are on the basis of GSTR1 as final liability booked will be assumed of GSTR1. But there is confusion in ITC as GSTR2 is not enabled…
Previous year ITC declared in April to Sep of next year through GSTR3B will be assumed or as per GSTR2A. As supplier upload the invoice in next financial year and ITC claimed in previous year through GSTR3B.
FOR THE YERA 17-18 AS PER GST R3B WE SUBMIT THE INCOME TAX RETURN WITH ITC MISMATCHES YEAR SOME SUPPLIERS REPORTED AFTER ONE YEAR AND ALSO FOR THE YEAR SOME SUPPLIERS BILL SUPPLY AT THAT TIME THEY SHOWN APN CARD NUMBER AND MOBILE NUMBER AT THAT TIME SOME DEALERS NOT ACCOUNT FOR AFTER THE YEAR WITH GST IN REPORTED GST R 1 HOW TO RECTIFY RECEIVERS AND ALSO FIRST THE GST SUBMIT OF RETURNS ANNUAL 9 AND 9 A ANNOUNCE TO DAILY NEWS A PAPER WHEN AUDITORS AND ACCOUNTANTS THE DEALERS NOT BELIEVE HOW EVER SO MUCH COMES MISMATCHES HOW SOLVE PLEASE HELP THROUGH TAX GURU DAILY REPORTS