composition dealer - DRC - 01

[Karuppannagounder Marimuthu]

 Summary of Show Cause Notice

DEFECT NO 1: Nil/Meagre tax Payer whose turnover in GSTR-1 and GSTR-3B lower than the purchases as per GSTR-2A/2B

How to submit reply

[KASTURI SETHI]

Dear Querist,

(i) Sometimes another registered person's sale figures/invoices crop up due to typographical error (human error) or snag in the functioning of software of Common Portal System. This may be the root cause of your problem.

(ii) Books of accounts are foundation for all purposes i.e. inward supply and outward supply. etc.

(iii) You are to justify actual purchase and sale figures with your books of accounts. The entries in your books of account must match with ALL GST returns including annual return. You are concerned with this only.

(iv) You are not responsible for another person's mistake.

[Shilpi Jain]

You could reply to department stating that further details of discrepancy required in order to clarify.

[Ganeshan Kalyani]

Compare / reconcile the invoice to invoice between books and GSTR-2A/2B. The mismatch to be identify as not pertaining to your business or not furnished in the return. Basis the working a suitable reply can be drafted.

AI Summary

Participant Queries GST Discrepancy: Turnover Lower Than Purchases in GSTR-2A/2B; Suggested Steps for Reconciliation A participant raised a query regarding a Goods and Services Tax (GST) issue where their reported turnover in GSTR-1 and GSTR-3B was lower than the purchases shown in GSTR-2A/2B. Three responses were offered. One suggested that the discrepancy might be due to typographical errors or software issues, advising the querist to ensure their books of accounts align with all GST returns. Another recommended requesting further details from the department to clarify the discrepancy. The third response advised comparing and reconciling invoices between the books and GSTR-2A/2B to identify mismatches and draft a suitable reply.