How to File Your GST Returns

Last updated on July 13th, 2017 at 02:21 pm

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Every registered taxable person has to furnish outward supply details in Form GSTR-1 (GST Returns-1) by the 10th of the subsequent month. On the 11th, the visibility of inward supplies is made available to the recipient in the auto-populated GSTR-2A. The period from 11th to 15th will allow for any corrections (additions, modifications and deletion) in Form GSTR-2A and submission in Form GSTR-2 by 15th of the subsequent month.The corrections (addition, modification and deletion) by the recipient in Form GSTR-2 will be made available to supplier in Form GSTR-1A. The supplier has to accept or reject the adjustments made by the recipient. The Form GSTR-1 will be amended according to the extent of correction accepted by supplier.

On 20th, the auto-populated return GSTR-3 will be available for submission along with the payment. After the due date of filing the monthly return Form GSTR-3, the inward supplies will be matched with the outward supplies furnished by supplier, and then the final acceptance of input tax credit will be communicated in Form GST MIS-1.

Also, the mismatch input tax credit on account of excess claims or duplication claims will be communicated in Form GST MIS-1. Discrepancies not ratified will be added as output tax liability along with interest. However, within the prescribed time, if it is ratified, the recipient will be eligible to reduce this output tax liability.

Let us understand GST return filing process with an example.

Process of uploading GSt Returns

 

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137 Comments

  • With gst introduction, the cost of tax compliance is going to increase. Filing of three returns in a month at regular intervals and reconciliation of transactions from time to time requires a full time accountant who knows computer operations. A minimum salary of rs 15000 per month or rs 180000 per annum reqires to be paid. Many small /medium scale units may not be in a position to bear this burden. To some extent this can be mitigated by increasing the composition scheme limit to rs. 2 crores. Now under gst also audit is made compusory when turnover exceeds one crore. One such audit is already there under Incometax Act (sec.44AB). Why this duplication and additional burden on the traders. These points reqire serious and immedite consideration.B.Appi Reddy,guntur

  • #Query : As per Form GSTR 1 we have to mention HSN/SAC. What will be the HSN/SAC Entered if an Invoice contains Products with MULTIPLE HSN/SAC.

  • SIR WE HAVE A EXPORT IMPORT COMPANY OF AGRICULTURE GOODS. HOW GST WILL BE CHARGED WITH EXPORT IMPORT COMPANY.
    PLEASE EXPLAIN THE PROCEDURE.

  • Dear Tally Team,
    Nice deck !
    Just wanted to check could you please share these example for a Leasing company point of view ( where 3 patry involve )

    Many Thanks Ina advance.

    Regards

  • We transfer goods on F form from W. Bengal(H.O) to Bihar(DEPO). My question is how to execute this transaction as previously road permits were issued by state and in GST no such permits are allowed

  • A REGULAR TAX PAYER FILE RETURN MONTHLY UNDER GST ACT FOR SUPPLY OF GOODS BUT HOW TO INCLUDE A FEW SERVICE TRANSACTIONS(NOT CONSIDER UNDER SUPPLY OF GOODS ) MADE BY HIM, AS HE IS NOT A REGISTERD UNDER COMPOSITON DEALER

  • Really, Tally makes it simple to understand. My question is, Does process will be same if inward supply is “Import Consignment” ? means how it will work in case of Import Consignment ?

  • Very good example indeed! Tally, keep it up. Nice team. Well done.
    Add an example for filing GSTR1 consisting of intra state and inter state outward and inward supplies.

  • SIR,

    I HE ARTFULLY APPRECIATE THE BEST EFFORTS OF TALLY TO MAKE UNDERSTAND OF FILING COMPLIANCE.

    BUT IF EVERY DELIVERY BASED INVOICE IS PRINTED THRO THE GST PORTAL ——I THINK NO RETURNS REQUIRED TO BE FILED BY THE GST DEALERS——————– WHY BECAUSE

    WHEN A SELLER RAISE AN INVOICE (OR) CREDIT NOTE THRO THE GST PORTAL, INSTANTLY IT WILL REFLECT IN THE BUYER’S GST ACCOUNT. IT WILL BECOME MORE THAN ENOUGH FOR EVERY DEALER TO PRESS THE PAY BUTTON AT THE END OF THE MONTH FOR DISCHARGE OF THEIR GST LIABILITY.. (I.E) AFTER AUTO INPUT.

    WHO WILL TAKE THIS EASY PROCEDURE TO THE KIND PERUSAL OF GOVERNMENT.

  • Tally is doing a great job in educating every one on GST. But it is intial knowledge. Still a long way to go & keep updating with frequent changes.

  • I want to know we have to upload bill copy or only bill wise detail i.e. bill number, date and amount in GST Return. Also plz update we have to submit item wise & qty wise detail in GST return?

  • For sugar industry at present sugar, molasses,r covered with excise duty and exempted from KVAT for this sugarcane is the raw material which is covered by Kst act. What will be at Sgt

  • This Illustration is very helpful.
    If a manufacturer supplies goods to the traders on the basis of GST thereafter trader will invoiced it to another party, isn’t it be double taxation coz every party needs to raise bill.

    • NO I WILL NOT CAUSE DOUBLE TAXATION, AS TAX PAID BY A PARTY WILL BE FULLY ALLOWED AS CREDIT TO OTHER PARTY.
      FOR E.G. IF A MANUFACTURER MR.M SELL GOODS TO A DEALER MR.D, AT RS. 1000+GST RS10 TOTALING TO RS.1010.
      NOW THE DEALER SOLD THE GOODS TO THE OTHER PARTY (COST TO MR. D = RS.1000, CREDIT TO BE AVAILED BY HIM RS.10) AT RS. 1200+ GST 12, TOTAL BILL AMOUNTING TO RS.1212. GST PAYABLE BY MR. D = (12-10)RS.2.

      SO THERE IS NO DOUBLE TAXATION

    • Currently, in the VAT regime, for purchase from unregistered dealer, the recipient has to pay the purchase tax. Under GST, it is likely that this will be under the reverse charge mechanism and the details of this should be furnished in Form GSTR-2. However, once the law and rules are finalised, clarity on this will be available.

  • We regularly sell the goods below the invoice price, since we receive the credit notes 1st or 2nd of week of next month. Based on market price equalisation. Hence our input credit accumulates higher than output tax. How can it be claimed back.

    • For your purchase, say on 15th July 2017, your supplier will file Form GSTR-1 for month of July on 10th August 2017. This will be shown as your inward supply for July in Form GSTR-2A, made available to you on 11th August 2017. Similarly, say that you sell one of the items to your customer on 20th July 2017. The same will show as your outward supply when you file Form GSTR-1 on 10th August 2017. This will appear as an inward supply for your customer in Form GSTR-2A, made available to him on 11th August 2017.

      • Dear TALLY Team,
        Kindly reply can we issue 3 different items with different HSN CODE in a single sale bill (outward supply), if yes then plz tell us how we show this in GST RETURN in single row i.e. 3 items with 3 HSN codes but one invoice number OR we have to issue always similar HSN CODE wise invoice ?

  • Sir, please let me know what would be the criteria of “Invoice Number/Bill No.” and how the uniqueness of the invoice numbers will be ensured? Is there any specific format given in GST to ensure the uniqueness of the invoice number because the key to the streamline GST process is ‘Invoice Number matching’. For example if the Tally Operator at Seller’s end puts in the duplicate invoice no. or enters it in absurd format like %%%%*## mistakenly then it may create a big problem for the buyer and GSTN too to accept the data type of the invoice number.

  • What if the seller & buyer both accidentally or mistakenly couldn’t upload the details of a particular invoice or a few invoices unknowingly respectively in GSTR1 and GSTR2 and it came into their notice after 20th/generation of GSTR3? Will they be given a second chance to rectify the mistake in their next return with some penalty or what would be the scenario?

  • Very simple steps to understand. Appreciate your continuous support. simply file & modification all return details provide by you as nice we have supper tally blog. we are waiting for the GST education more help

  • GSTR 1 requires dealers to upload only Tax Invoice details, The Draft Law also prescribes the details required to be provided in the Tax invoice, From GST point view Commercial( Retail) Invoice can be in any format

    • CST is subsumed under GST and on interstate transactions, IGST will be applicable. The exiting declaration forms such as C form, H form and E1/E2 will be discontinued.

  • I have heard (but not sure whether it is correct or not) that an interface for import of bulk entries from an excel sheet can be made. This interface automatically picks up the data from excel sheet and takes it to Tally and automatically vouchers are created and entered. I don’t know whether this function already exists in Tally or developed/customised by Software developers. If this is included in next version of Tally It will tremendously help those users where no of outward/inward bills are too large. Any one who knows excel may punch that data in prescribed format and the rest of the work is done by technology ( As claimed by Tally ). Will wait for Tally’s response on this.

  • With the implication of GST, the type of Local Sales ( ie. within the State ) and Interstate Sales ( ie. outside the State ) will be eliminated as GST is One Nation One Tax. Kindly explain.
    If the sales happen on last week of the month from Gujarat State and the stocks reaches in Karnataka next succeeding month, then how buyer will account so as to reflect ( match ) in order to get the Input Tax. Kindly explain at the earliest. What will happen if the Buyer is in Karnataka State and the Seller is in Gujarat State OR vice versa.

    • The location of the supplier and the place of supply will determine whether it is Intra-state or Inter-state. For example, if the location of the supplier and place of supply is in the same state – CGST & SGST will be applicable. If the location of the supplier and place of supple are in two different states – IGST will be applicable. The rate of tax will be uniform for intra or interstate supply of goods.

      For the second part of your question, we need more clarity from the law maker on these exceptional cases. However, the outward supply dealer (seller) will be capturing the invoice detail in his Form GSTR-1 and it will be made available to the inward supply dealer(Buyer) from 11th in Form GSTR–2A. The same can be accepted and updated in the buyers books of account. Since, both the invoices are matched, Input credit will be available. The details of dispute mechanism, when made available, will throw more light on these exceptions. We shall keep our readers posted and build such use cases of exceptional transactions, once more details available.

    • Answer to your second part of the question
      Let us say the sales takes place from Gujarat on 29th of April 2017 and reaches Karnataka on 5th of May 2017
      Seller needs to file GSTR1 for all his sales for the month of April 2017 on 10th of May 2017 including the above sale.
      Buyer cannot incorporate the above purchases in GSTR 2 for the month of April 2017 (to be filed on 15th May 2017) since goods are not reached him in the month of April 2017. (Input credits can be availed only on receipt of the Goods)
      On 20th of May 2017 (along with monthly return for April 2017 ) Seller pays the tax ( GST) for above transaction.
      On receipt of goods i.e in the month of May (GSTR 2 to be filed on June 15, 2017) buyer take credit of the input for the above transaction.
      For the above transaction Tax paid by seller for the month of April 2017 behalf of the purchaser, shall reflect as advance tax paid for which input tax is not availed, until the buyer avails the input tax (i.e month of May 2017)
      The above is applicable for Vice Versa also

  • Very good presentation for traders who want to claim input tax credit. What about those traders who are composite tax payers? Is there any change to the current system of paying VAT on total sales for a period. Please help.

  • Good Demonstration from tally Services, thanks and this system is time bounded within around of 5 day’ s but clarity from purchase and seller is most use full in calculation

  • That means Super Cars Ltd have to depend on Bill No. 50 of Shine Alumunium to upload the same. ( mercy on the supplier ) So that Super cars can file GST return on time. What will happen if the supplier send the invoice dated last day of month say from Ahmedabad to Bangalore

  • OK in current Senior we account for all our purchases on the date of receipt of goods irrespective of the date on which the goods is dispatched/ billed say for example Mr. X supplied the good son 25 June 2016 we received the goods on 4 July 2016. We enter the same in our books on 4 july 16 and file the return fo the month of July accordingly.
    In GST what will happen. When is the purchase is to be taken in books 25th June 16 or 4 July 16

    • We are awaiting more clarity from the law maker on these exceptional cases. However, the outward supply dealer (seller) will be capturing the invoice detail in his Form GSTR-1 and it will be made available to the inward supply dealer(Buyer) from 11th in Form GSTR–2A. The same can be accepted and updated in the buyers books of account. Since, both the invoices are matched, Input credit will be available. The details of dispute mechanism, when made available, will throw more light on these exceptions. We shall keep our readers posted and build such use cases of exceptional transactions, once more details available.

  • suppose the supplier is billed on 31st and supplied to dealer on next month suppose on 7th we are showing the purchase on 7th. In case of mismatch at GST the 1st person shown on 31st and the next party shown on receipt of item on next month – in GST return how it mismatch and any solution.

    • We are awaiting more clarity from the law maker on these exceptional cases. However, the outward supply dealer (seller) will be capturing the invoice detail in his Form GSTR-1 and it will be made available to the inward supply dealer(Buyer) from 11th in Form GSTR–2A. The same can be accepted and updated in the buyers books of account. Since, both the invoices are matched, Input credit will be available. The details of dispute mechanism, when made available, will throw more light on these exceptions. We shall keep our readers posted and build such use cases of exceptional transactions, once more details available.

  • My firm buying coffee seeds from unregistered dealer, mean grower We have to rise the purchase invoice then input tax we have to pay as usual in vat

  • If the supplier sends the material say end Apr & is reflected, where as the Purchaser receives the goods (thru Transport) as they aree located at 2 different states with considerable distance, the Goods may not have received at Purchaser end even by 10th May, how the same is taken care in GSTR. Pl. clarify.

    • We need more clarity from the law maker on these exceptional cases. However, the outward supply dealer (seller) will be capturing the invoice detail in his Form GSTR-1 and it will be made available to the inward supply dealer(Buyer) from 11th in Form GSTR–2A. The same can be accepted and updated in the buyers books of account. Since, both the invoices are matched, Input credit will be available. The details of dispute mechanism, when made available, will throw more light on these exceptions. We shall keep our readers posted and build such use cases of exceptional transactions, once more details available.

    • We need more clarity from the law maker on these exceptional cases. However, the outward supply dealer (seller) will be capturing the invoice detail in his Form GSTR-1 and it will be made available to the inward supply dealer(Buyer) from 11th in Form GSTR–2A. The same can be accepted and updated in the buyers books of account. Since, both the invoices are matched, Input credit will be available. The details of dispute mechanism, when made available, will throw more light on these exceptions. We shall keep our readers posted and build such use cases of exceptional transactions, once more details available.

  • Does GSTR 1 requires dealers to upload retail invoices details also or only tax invoices? Or both? If both than wont it be voluminous and huge work?

    • Yes, Form GSTR-1 needs to uploaded for all outward supply including the retail and zero rate supplies. Technology plays a vital role to be compliant with GST. Having a right technology will ease your compliance task.

    • GSTR 1 requires dealers to upload only Tax Invoice details, The Draft Law also prescribes the details required to be provided in the Tax invoice, From GST point view Commercial( Retail) Invoice can be in any format

  • If Billing/Accounting Software like tally can communicate with GSTN on real time basis then all this return prepration and filling should not take any time because all forms will pull data from tally as you Bill or post purchase. I hope you are working on these lines

  • When GST is implemented a trader has to file his sales transaction only. His Purchase will be auto populated and he has to reconcile his purchase transactions. Like to know will Tally provide auto reconciliation of Purchase transactions in GST portal.

  • Very Nice. But I Have a Question?. Is GST final return will go with GST Payment? Beacause there may be a case where credit of 1-2 months need to given to customer while payments to vendor need to made immediately. will it not result in cash crunch. How a person will pay taxes untill he received the same

    • Yes, the auto-populated monthly return Form GSTR-3 should be submitted along with the payment of tax. In determining the point of taxation, shortly we are coming up with a more detailed blog on time of supply. Please do check back.

  • This type of Return filing will only increase work load. Earlier filing work can be done in one day. Now it is going to take 3 days. Consultants please note.

  • This type of Return would certainly help in decreasing the work load ,once it is understood. Thanks Tally for making us understand in such simple way.

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