First Return of GST - Form 3B - Some key points (due date 20 August 2017)

As per rule 61(1) of CGST requires " Every registered person other than a person referred to in section 14 of the Integrated Goods and Services Tax Act, 2017 or an Input Service Distributor or a non-resident taxable person or a person paying tax under section 10 or section 51 or, as the case may be, under section 52 shall furnish a return specified under sub-section (1) of section 39 in FORM GSTR-3 electronically through the common portal either directly or through a Facilitation Centre notified by the Commissioner".

However rule 61(5) states that " Where the time limit for furnishing of details in FORM GSTR-1 under section 37 and in FORM GSTR-2 under section 38 has been extended and the circumstances so warrant, return in FORM GSTR-3B, in lieu of FORM GSTR-3, may be furnished in such manner and subject to such conditions as may be notified by the Commissioner"

Now,

One can draw a reference of the requirement to file FORM GSTR-3B in case an extension has been granted by authority.

On 18 June 2017 in the meeting of GST council, it has been decided to use the FORM GSTR-3B and allowed the below extended timelines-

           

Month	GSTR – 3B	GSTR - 1	GSTR – 2 (auto populated from GSTR-1)
July, 2017	20th August	1st – 5th September*	6th – 10th September
August, 2017	20th September	16th – 20th September	21st  – 25th September

Full notification can be referred using link http://pib.nic.in/newsite/erelease.aspx?relid=0

Now,

Let us look at some key points which are to be kept in mind while filing this first return under GST regime -

1- The FORM GSTR-3B will be having total 6 tables which essentially requires TOTAL amounts in each segments,

2- Table 1 needs all  OUTWARD taxable supplies PLUS inward supplies (only RCM) which needs reverse charge either 9(3) or 9(4) of CGST act & Imports as per IGST, 

3- Table 1 basically needs Four main breakup of all your outward supplies for the month of July > First related to zero rated i.e. export supplies, > Second related to nil & exempt supplies > Third related to supplies which are outside from GST regime e.g. petrol etc and Fourth one will be other than all mentioned in three sections so far,

4- ALL Inward supplies in total which is require reverse charge either 9(3) or 9(4) & import under IGST will be at one column in the table 1,

5- Table 2 (3.2 of GSTR-3B) needs a portion of information given in table 1 related to OUTWARD supplies made to UNREG person + COMPOSITION scheme person + REG person into INTERSTATE supplies which are other than ZERO rate +NIL rated+ EXEMPTED goods,

6- Table 3 (4 of GSTR-3B) needs to mention all available ITC which are allowed under the act other than section 17(5) of CGST act which are to shown separately.

And reversal related to rule 42 applies in case where ITC is used partly for business purposes and partly for other purposes to be shown separately together with reversal related to rule 43 where ITC related to CAPITAL GOODS is used partly for business purposes and partly for other purposes,

7- Table 4 (5 of GSTR-3B)  needs only those INWARD SUPPLIES which have been received from a composition scheme supplier and such supplies were exempt or Nil rated AND anything which were non-gst supplies e.g. petrol etc then everything needs to be mentioned in total related to inward supplies,

8- Table 5 (6.1 of GSTR-3B) needs all payments  of tax  which are required to be made based on the estimated liability for the due date i.e.20th of next month in case general case and 18th day of next month at the end of each quarter in case composition scheme,

9- Table 6 (6.1 of GSTR-3B) is not applicable so far hence there is no need to fill now till the time the provisions of TDS/ TCS is being notified.

10- Defination of taxable supply should be used as Value of Taxable Supplies = Value of invoices + value of Debit Notes – value of credit notes + value of advances received for which invoices have not been issued in the same month – value of advances adjusted against invoices

With several technical glitches and non-clarity on account of carried over credit by using TRANS01 is not reflecting in the form and hence govt intends to pay all such present GST liability now and can be adjusted later as credit.

Later of filing this return the entity would have some time to revise its return and file GSTR-1 & 2 in the next few weeks..

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