Annual Return

[Kaustubh Karandikar]

The wrong reporting of figures in Return GSTR – 1 and GSTR – 3B, can it be rectified by showing correct figures in Annual Return or in Annual Returns same figures should get reflected what is mentioned in the Return GSTR – 1 and GSTR – 3B?

[KASTURI SETHI]

Dear Sir,

Correct figures should be reflected in the Annual Return. Thus it will prove bona fides on the part of tax payer (registered person). We should not commit an other mistake by reporting wrong figures (already reported in GSTR-1 and GSTR -3 B) again in the Annual Return. It is my observation that Annual Return is the last opportunity for assessees to rectify the mismatch between GSTR-1 and GSTR -3 B. The possibility of providing such facility in the the functioning of Common Portal System cannot be ruled out. So adhere to correct figures in the Annual Return. Most of the assessees have received notice for mismatching of figures between GSTR-1 and GSTR-3 B. So we can hope that Govt. will evolve some way-out in the interest of the assessees, at least for the first year of GST, it being a new law.

AI Summary

Annual Return correction: correct figures should be reported to demonstrate bona fides and address GSTR mismatches. Annual Return must reflect correct consolidated figures rather than repeat incorrect entries from GSTR-1 and GSTR-3B; it is the operative opportunity for registered persons to demonstrate bona fides and reconcile mismatches. Taxpayers should report accurate aggregated figures in the Annual Return, and may rely on potential portal mechanisms or future administrative guidance to assist rectification where notices for mismatches have been issued.