TaxTMI 
TaxTMI 
10 Key Steps that can guarantee 100% error free GSTR-1
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....0 Key Steps that can guarantee 100% error free GSTR-1<br>By: - deepak gulati<br>Goods and Services Tax - GST<br>Dated:- 13-4-2020<br><br>10 Key Steps that can guarantee 100% error free GSTR-1 It's been almost 2 years and 9 months passed since applicability of GST Regime. However, still professionals make silly mistakes while filing GSTR-1(the preliminary return to report sales under GST Regime). ....
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....Due to such continuing mistakes in GSTR-1, taxpayers have to suffer following consequences: - * Incorrect reporting due to mistake in mentioning Place of Supply. * Ineligible to claim Refund on Exports * Unreconciled GSTR-1 Vs GSTR-3B * Recovery Proceedings against the registered person * Mismatch of sales return with e-way bills, etc. Therefore, we hereby try to compile following 10 ke....
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....y points in tabular form which can give guaranteed Error - Free GSTR-1:- Sl.No. Description of Error Committed Correct Reflection Special Instructions 1 Sales > 2.5 L to URD shown under B2Cs (Only for inter-state sales) Under B2CL Column * Any interstate sales made to URD Exceeding 2.5Lakhs will be shown here * Invoice Wise data should be submitted 2 Export Sales wrongly shown as wi....
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....th payment instead of without payment Select under LUT / payment category This error will lead to mismatch between 3B & R1. So pls check category thoroughly. 3 SEZ sales reported under B2B Under Zero Rated Supplies Sales to SEZ is treated as Zero Rated Supplies under GST Regime. Hence, should be reported under correct head 4 Advance Adjustment skipped State wise adjustment of advance Adv....
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....ance received has to be adjusted against invoice. 5 B2CL Amendment which results in reducing total amount of Invoice below ₹ 2.5 Lakhs URD Credit Notes Sub Category - B2CL No amendment in B2CL allowed if Inv Value is reduced below ₹ 2.50 Lakhs. In such case credit note should be issued 6 Invoice Value doesn't match with total of Taxable Value + Tax (This seems to be silly ....
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....but could lead tomajor issues) Invoice Value should match This error signify the following mistake 1) Delivery / packing charges not levied to Tax 2) GST Rate mentioned in GSTR-1 is wrong 3) Cess / Additional Cess is not shown in GSTR-1, etc. 7 Not Reporting HSN Data Mandatory for business Turnover > 1.5 cr = 2 level Turnover > 5 cr = 4 level HSN Codes of credit note is also requir....
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....ed 8 Unreconciled Return Data - Inter linking B2B+B2Cs+B2CL+Zero Rated +Advance- Adj of Advance- Credit Notes = HSN Summary This is the last check point which in result give satisfaction of correct GSTR-1 data based on inter-linking 9 Reduction in liabiity by Credit Notes Not allowed after due date of Sept R-1 following the FY Sec. 34(2) of CGST Act restrict adjustment in tax liability onl....
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....y upto Sept GSTR-1 following the FY. This means no adjustment in tax is allowed after Sept R1 for the previous year. 10 Non-Reconciliation with GSTR-3B Monthly 3B = Monthly R1 To avoid litigation, its advisable to do proper reconciliation of particulars filed in GSTR-3B withdraft GSTR-1.Only on matching of Return Data - Returns should be submitted. Quarterly 3B = Quarterly R1 Please follow t....
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....hese small steps and you will be able to file error free GSTR-1. Thanks & Regards Deepak Gulati, Deepak Arya Chartered Accountant<br> Scholarly articles for knowledge sharing by authors, experts, professionals ....