10 Key Steps that can guarantee 100% error free GSTR-1

Sl.No.

Description of Error Committed

Correct Reflection

Special Instructions

1

Sales > 2.5 L to URD shown under B2Cs
(Only for inter-state sales)

Under B2CL Column

• Any interstate sales made to URD Exceeding 2.5Lakhs will be shown here
• Invoice Wise data should be submitted

2

Export Sales wrongly shown as with payment instead of without payment

Select under LUT / payment category

This error will lead to mismatch between 3B & R1. So pls check category thoroughly.

3

SEZ sales reported under B2B

Under Zero Rated Supplies

Sales to SEZ is treated as Zero Rated Supplies under GST Regime. Hence, should be reported under correct head

4

Advance Adjustment skipped

State wise adjustment of advance

Advance received has to be adjusted against invoice.

5

B2CL Amendment which results in reducing total amount of Invoice below ₹ 2.5 Lakhs

URD Credit Notes

Sub Category – B2CL

No amendment in B2CL allowed if Inv Value is reduced below ₹ 2.50 Lakhs. In such case credit note should be issued

6

Invoice Value doesn't match with total of Taxable Value + Tax
(This seems to be silly but could lead tomajor issues)

Invoice Value should match

This error signify the following mistake
1) Delivery / packing charges not levied to Tax
2) GST Rate mentioned in GSTR-1 is wrong
3) Cess / Additional Cess is not shown in GSTR-1, etc.

7

Not Reporting HSN Data

Mandatory for business
Turnover > 1.5 cr = 2 level
Turnover > 5 cr = 4 level

HSN Codes of credit note is also required

8

Unreconciled Return Data - Inter linking

B2B+B2Cs+B2CL+Zero Rated +Advance- Adj of Advance- Credit Notes = HSN Summary

This is the last check point which in result give satisfaction of correct GSTR-1 data based on inter-linking

9

Reduction in liabiity by Credit Notes

Not allowed after due date of Sept R-1 following the FY

Sec. 34(2) of CGST Act restrict adjustment in tax liability only upto Sept GSTR-1 following the FY. This means no adjustment in tax is allowed after Sept R1 for the previous year.

10

Non-Reconciliation with GSTR-3B

Monthly 3B = Monthly R1

To avoid litigation, its advisable to do proper reconciliation of particulars filed in GSTR-3B withdraft GSTR-1.Only on matching of Return Data - Returns should be submitted.

Quarterly 3B = Quarterly R1