how to claim refund on the wrongly declared amount in GSTR 3B

[Hariharan Sundaram]

Dear experts while filing the GSTR 3B, the taxpayer filled the details of zero rated supply in the column "taxable outward supply" . Now the taxpayer filed the refund on accumulated ITC on account of zero rated supply and the tax authorities issued deficiency memo that there is no zero rated supply in GSTR 3B. Since the GSTR 3B is filed, there is a double loss one is GST is paid on zero rated supply and another thing we are unable to claim refund of accumulated ITC on account of zero rated supply. Kindly give your valuable opinion as to whether refund can be claimed for both?

[Ganeshan Kalyani]

Sir, the below public notice was issued recently to enable the taxpayer to rectify such errors.

PUBLIC NOTICE NO. 100/2020 Dated: - 14-8-2020

[Hariharan Sundaram]

Sir thank you very much for your reply. However in our case, export is NOT done on payment of duty but on the basis of LUT. Further in our case, zero rated supply is entered in the taxable outward supply in the GSTR 3B. So we have to pay GST for zero rated supply. Sir kindly clarify whether the above clarification is applicable to our case. Further kindly provide the solution for the issue since there is double loss. Firstly, the department is allowing refund for the accumulated ITC voting GSTR 3B. Secondly we have already paid gst for the zero rated supply due to wrong reporting

[Shilpi Jain]

Adjust the tax paid mistakenly in 3B in the subsequent period and rectify the disclosure in Form GSTR-3B. Explain the same to the officer and also have a look at circular 125/2019 in this regard.

[YAGAY and SUN]

Mistakes occurred in GST Returns can be rectified in subsequent period's statutory returns which is a great facility in GST Regime, which was missing if Excise/VAT/CST Regime.

[Bhavika Chothani]

Adjust the amount in GSTR-3B of subsequent month

AI Summary

Rectification of GSTR 3B errors allows adjustment in subsequent returns to recover wrongly paid tax and claim accumulated ITC.
Tax paid on zero rated supplies due to misclassification in GSTR 3B can be remedied by adjusting the mistakenly paid tax in a subsequent GSTR 3B, correcting the disclosure, and explaining the error to the tax officer; public guidance and a circular allow such post filing rectification, including where exports were made under LUT, to preserve entitlement to accumulated input tax credit refunds.