GST was introduced to simplify indirect tax system in India and to meet the concept of one nation one tax. It has to some extent simplified indirect tax laws by subsuming various previous tax laws in it. However, the large number of returns to be filed under it, is still a problematic issue. In this article I have only focused on GSTR 3B return.
GST is a new era of indirect taxation where a registered supplier of goods & services has to file GST return.
GST return can be filed monthly or quarterly depending upon the respective turnover (if turnover for Financial year is more than 150 lacs then compulsorily opt for monthly).
What is GSTR 3B?
GSTR-3B is online monthly return of purchases and supply made in a particular month and calculating GST amount payable or credit available.
If taxable supply made are more than taxable purchases, then GST is payable.
If taxable purchase are more than taxable supply, then credit is available for excess tax paid on purchase, which will be adjusted in next month GST Payable.
Broadly it is divided into below major heads:
This parts contains the output taxable value, output IGST, output SGST, output CGST, It also contains rows where nit rated, exempted and reverse charge details can be filed.
This part contains the input IGST, input CGST, input SGST. It also contains rows where reverse charge details can be filed.
Purpose of filing GSTR 3B
Main purpose of filing Gstr-3b is to show the government the transactions(Purchase/SALES) during the month, so that the government could keep on the trail of transaction in an economy. To keep a watch on GST paid on the transactions is also the purpose of this return. It also helps the taxpayer to update his accounts every month.
Late fine for GSTR 3B
This part contains the late fine that the taxpayer is liable to pay (if return filed after 20th of the succeeding month)
Payment of tax
This part contains the input credit balance & cash available /payable by the tax payer on his return.
Due date of filing GSTR-3B
Due date of filing GSTR-3B was upto 20th of succeeding month till December ‘2019 return. Due dates has been revised from January ‘2020 return, as per the revised date:
- Any taxpayer having an aggregate annual taxable turnover of Rs. 500 lacs or above during previous financial year is required to file Gstr-3B on or before 20th of every succeeding month.
- Any tax payer having an aggregate taxable turnover of less than Rs. 500 lacs during previous financial year is required to file GSTR-3B on or before 22nd and 24th of succeeding month depending upon the state in which they are registered:
(Chhattisgarh, Madhya Pradesh, Gujarat, Daman and Diu, Dadra and Nagar Haveli, Maharashtra, Karnataka, Goa, Lakshadweep, Kerala, Tamil Nadu, Puducherry, Andaman and Nicobar Islands, Telangana and Andhra Pradesh — will have to file GSTR-3B returns as 22nd of the succeeding month without late fees.
Jammu and Kashmir, Ladakh, Himachal Pradesh, Punjab, Chandigarh, Uttarakhand, Haryana, Delhi, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand and Odisha – will have to file GSTR-3B as on 24th of succeeding month without late fine.)
Can we revise GSTR 3B?
It cannot be revised if once filed. However, you can make limited changes in the next month return for those changes. Any correction to be made can be done before September month following end of financial year, in the annual return.
Is it mandatory to file GSTR 3B
Yes, if you are registered under GST, it is mandatory to file it even if you don’t have any sale-purchase in that month.
Person liable to file GSTR-3B
Any person registered under GST act has to file GSTR-3B every month. In which he has to give information of his sale and purchase transactions of the month. If a person has no transactions during the month then also he need to file it under NIL return.
Who is exempted from GSTR 3B?
Below mentioned persons are exempted to file it :
- Non- resident registered under GST should not have to file it.
- Person registered as a composition taxpayer(1% of tax on turnover)
- Input service distributer are also exempted
- Person registered and are dealing in OIDAR
Late fees & Interest in GSTR-3B
It is required to be filed before due date (as mentioned in above paragraph)otherwise late fees will be imposed on the taxpayer as follows:
- If taxpayer having nil return do not file it before due date then Rs. 20/day will be imposed as late fine till the date he has not filed the return.
- If the taxpayer having taxable transaction does not file it before due date then Rs. 50/day will be imposed as late fine till the date he has not filed the return.
- Interest @18% per annum will also be imposed on the outstanding tax amount till the tax had not been paid
- If a taxpayer has deposit tax to his cash ledger before due date but files his return after due date then also he is liable to pay both late fees and interest.
- As per notification No 1/2021 central tax dt 1st Jan 2020, the central tax rules are changed. Now it provides for blocking of GSTR-01 in case of non-filing of GSTR 3B for two subsequent months (or Preceding quarter in case GSTR 3B applies quarterly). Earlier Non filing of GSTR 3B used to result in blocking of E way bill facility, now it also provides for blocking of GSTR -01.
Updates and notifications
|Update or Notification No.||Detail|
|notification No 1/2021 central tax dt 1st Jan 2020||Provides for blocking of GSTR 1, in case of non filing of GSTR 3B|