Disclosure of advance adjusted invoices in Annual return of 2018-19

[Guest]

Person registered in March' 2018 and received advance for which invoice has been raised in April' 2018. Now such advance is shown in table 5F and table 9 of GSTR 9 of 2017-18.

Now how to disclose invoice raised April' 2018 in 2018-19 annual return. what is the impact in table 9 of 2018-19 annual return?

[Mahadev R]

Format requires change for FY 2018-19 for such adjustments. No provision for such disclosure as of now. As it was first year in FY 2017-18, this requirement would not have been thought of

[Spudarjunan S]

Dear Sir,

Are you supplier of services or goods. In case of goods, you doesn't require to disclose such advances in Annual return.

In case of supplier of services, you should have discharged tax liability in the month of March 2018 and got it adjusted against the invoices of April 2018.

If you had complied with it, then disclose in Table 4 or Table 5(only in cases where you doesn't require to pay taxes on such supply i.e. Zero rated or exempted or Nil rated etc.) or Table 10 of GSTR-9 based on your facts and disclosures in the monthly returns.

[Guest]

Spudarjunan S,

Yes, the advance received is towards services only which is taxable and recipient is filing GSTR 9.

[Guest]

Mahadev R,

From portal generated GSTR 9, we have observed that values in table 4F are auto-populating from Table 11A and 11B i.e; Table 4F = Table 11A - Table 11B of GSTR 1.

In the present case, value in table 4F should be in negative as there is only Table 11B in 2018-19 and not Table 11A. Further, portal is not supporting to enter negative values in Table 4F. This we have checked from 2017-18 Annual return.

AI Summary

Disclosure of advance receipts: report taxable service advances in the annual return per tax discharge and monthly return entries. Advances for taxable services received in one fiscal year and invoiced in the next must be reported in the annual return consistent with the month tax was discharged and the monthly return entries; suppliers should reflect such advances in the table corresponding to the nature of supply and prior tax treatment. For goods, separate disclosure is generally not required. Portal auto-population of GSTR 9 (Table 4F = Table 11A - Table 11B) can prevent entry of negative values, creating reporting difficulties when only Table 11B items exist, and the return format for the transition year did not expressly provide for these adjustments.