TaxTMI 
TaxTMI 
GSTR-1 credit note not uploaded and GSTR-3B filed correctly rectified in GSTR-9 and GSTR-9C
There is no revenue loss govt
GSTR1 AND GSTR3B Difference
19 Jun 2024 
3 Replies 
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Input tax credit reversal requirement can prevent seller relief when credit notes are omitted from outward returns.
Sellers reducing declared tax in GSTR 3B without uploading corresponding credit notes in GSTR 1 can create a mismatch because recipients must reverse their Input Tax Credit; non disclosure in GSTR 1 obscures the record and may jeopardize a revenue neutral position. A recipient declaration or buyer debit note evidencing ITC reversal strengthens the seller's case for reconciliation across returns and may affect tribunal consideration, but the issue is litigiously contested. (AI Summary)
Sellers reducing declared tax in GSTR 3B without uploading corresponding credit notes in GSTR 1 can create a mismatch because recipients must reverse their Input Tax Credit; non disclosure in GSTR 1 obscures the record and may jeopardize a revenue neutral position. A recipient declaration or buyer debit note evidencing ITC reversal strengthens the seller's case for reconciliation across returns and may affect tribunal consideration, but the issue is litigiously contested. (AI Summary)