gstr-9 reporting

[Madhavan iyengar]

Company A sold material in July 17 worth ₹ 100000/- @18% GST - of ₹ 18000/- was charged and out put liability has been discharged

Now in Sept 17 the material was returned back by the recipient B in Oct 17 under challan as a supply

Company A took ITC in Nov 17 in 3B of the returned material but did not show it as purchase instead shown in GSTR-1 as credit note however in 3B credit note was not shown and the and accordingly liability not adjusted

this is a case of itc taken in 3B on return material, but corresponding credit note shown in GSTR-1 however credit note not adjusted in 3B

how above is to be disclosed in the GSTR-9 by company A

[Ganeshan Kalyani]

This depends upon your accounting treatment in the books of account. Did you shown as sales return or purchase. Accordingly, it will be shown in the GST annual return.

[Guest]

As Part II of GSTR 9 heading clearly mentions " Details of Outward and Inward supplies made during the financial year". You can do the following

1. Outward supplies in Part II are auto-populated from GSTR 1. Now you may rectify them according to your Books of Account.

2. In case ITC has been wrongly taken on credit note raised, then the reversal can be made in 7H of GSTR 9

AI Summary

GSTR-9 disclosure: align annual return with books; correct Part II entries and reverse wrongly claimed ITC in the reversal head. When a returned supply generated a credit note in GSTR 1 but input tax credit was claimed in GSTR 3B and not adjusted, GSTR 9 must follow the books of account: rectify auto populated Part II entries to match ledger treatment (sales return or purchase) and, if ITC was wrongly taken, disclose a reversal under the prescribed reversal head (7H) so the annual return reconciles with accounting records.