An Overview of Form GSTR-3B

At the time when the Goods and Services Tax (GST) Act, 2017 was enforced by the government of India, registered taxpayers were required to file three individual GST return forms i.e., GSTR-1, GSTR-2, and GSTR-3, respectively in a month. So you must know GSTR-3B Form Details, that needs to fill.

Although this seemed a bit of an inconvenience to registered taxpayers, the GST Council thus, brought new changes in the tax regulation and now allow registered taxpayers under GST, to only file a single GSTR-3B return each month.

GSTR-3B is, therefore, an uncomplicated summary of returns that is mandated to be filed online by registered taxpayers on a monthly-wise. In general, taxpayers are required to provide a summarized report of the total values made with regard to purchases and sales, without the necessity of having to list invoice details.

Due Date For Filing GSTR-3B Return In 2020

The GST Council has announced the new due dates for filing GSTR-3B return for the first quarterly months i.e., January, February and March 2020, respectively, stated as under:

(i) Taxpayers having an annual turnover equal to Rs. 5 crores or more are required to file GSTR-3B on the 20th of each month. This applies to registered taxpayers in all states and Union Territories (UT).

(ii) Taxpayers making a turnover less than Rs. 5 crores are required to file GSTR-3B on the 22nd of each month. This applies to registered taxpayers belonging to the states of 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.

Whilst taxpayers having a turnover of up to Rs. 5 crores are required to file GSTR-3B on the 24th of each month. This applies to registered taxpayers belonging from the states and Union Territories (UT) of Jammu and Kashmir, Laddakh, 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.

Details Needed To Be Mentioned In Form GSTR-3B

The Form GSTR-3B is generally divided into six broad sections and the details that are needed to be provided in each section are described below.

1. Provide GSTIN

Note: In case you do not have a GSTIN (Goods and Services Tax Identification Number), you can instead, provide your Provisional ID in this field.

2. Legal Name of the Registered Person

Note: The information in this field will be filled automatically after providing your GSTIN or Provisional ID.

3.1. Details of Outward Supplies of goods and inward supplies of goods liable to reverse charge

Note: This section in Form GSTR-3B includes details of taxes that is payable by you. Such details are further broken down into the nature of supplies, for which the total taxable value (invoiced) must be provided. The total taxable value is further divided into taxes, such as IGST, CGST, SGST/UTGST and Cess, if any.

Here, you are not necessarily required to provide details from the invoice level, rather you are required to provide only the consolidated values for the month. Also, you do not have to provide GST rate, but the values of total tax only.

(a) Outward taxable supplies of goods (other than zero-rated, nil rated and exempted)

Here, you are required to provide only those supplies on which GST has been charged by you. Nature of supplies that are zero rated, nil rated or exempted from GST should not be entered here. These should be entered provided separately.

This is calculated as given below:

Value of Taxable Supplies of goods = Value of Invoice + Value of Debit Notes – Value of Credit Notes + Value of Advances Received (for which invoices have not been issued in the same month – Value of the Advances Adjusted against Invoices

Note: It is not required for tax payers to separately show the details of advances and adjustment of advances against invoices.

(b) Outward taxable supplies (zero rated)

In this section, tax payers are only required to provide details for outward taxable supplies on which the rate of GST is zero.

Note: Zero-rated outward supplies are generally supplies or exports that are made to the Special Economic Zone (SEZ).

(c) Other outward supplies (nil rated, exempted)

In this section, tax payers are required to provide details of other outward supplies that are either rated Nil or are exempt from GST.

Note: Supplies that are rated Nil are the ones for which the GST rate is Nil, or supplies which have been exempt from GST Examples of such supplies are fresh milk, curd, lassi, salt, worship/prayer items (puja samagri), etc. These items are exempt from GST.

(d) Inward supplies (liable to reverse charge)

In this section, tax payers are required to provide details of inward supplies or purchases made from unregistered dealers on which reverse charge is applicable. Here, you are required to prepare an invoice for yourself and pay the GST rate of tax that is applicable.

(e) Non-GST outward supplies

In this section, tax payers are required to provide details of any outward supplies that have been made by you and kept out of GST i.e., non-GST. Examples of such items are petroleum products and alcohol.

3.2. The supplies are shown in 3.1 (a) above, details of inter-State supplies of goods made to unregistered persons, composition tax payable persons, and UIN holders

Note: In this section of Form GSTR-3B, details of separate outward taxable supplies are required to be provided by registered taxpayers. Also, taxpayers are required to mention inter-State supplies that are made to:

• Unregistered persons
• Composition dealers
• UIN holders

Here, UIN holders are persons who have a Unique Identification Number (UIN), rather than having a Goods and Services Tax Identification Number (GSTIN).

These are specialized agencies of the United Nations Organization (UNO) or an embassy or any Multilateral Financial Institution and Organization that is notified under the United Nations (Privileges and Immunities) Act, 1947. As such, any other persons may also be notified by the Commissioner.

4. Eligible ITC

Note: This section of Form GSTR-3B contains details required for input tax credit (ITC). Registered taxpayers are required to provide details of total values only. Invoice level details are not required to be provided here. Also, taxpayers must provide details separately for IGST, CGST, SGST/UTGST, and Cess, if any.

This section is further categorized as under:

(A) ITC Available (whether in full or part)

This is further broken down into sub-categories, given below:

(1) Import of goods
(2) Import of services
(3) Inward supplies of goods liable to reverse charge (other than 1 & 2 above)
(4) Inward supplies from ISD

Note: This includes inward supplies from Isd (Input Service Distributor), such as your head office that is registered as an ISD under GST.

(5) All other ITC

(B) ITC Reversed

This contains the following sub-categories:

(1) As per rules 42 & 43 of Central Goods and Service Tax Rules

Note: Rules 42 and 43 of CGST Rules applied here means that input tax credit (ITC) must be reversed for goods and services, where they have been used partly for business and partly for other purposes, but to the extent of not being used for business purpose.

In the same way, input tax reversal is also required where the nature of supplies can be taxable, nil rated or exempt. Similarly, input tax credit (ITC) related to capital goods, which are used for business and other purposes, supplies that are taxable, nil rated and exempt should also be reversed, but to the extent of not being used for business.

(2) Others

Note: Here, registered taxpayers are required to provide details of any other ITC that has been reversed by him/her.

(C) Net ITC Available (A) – (B)

Note: Details here will auto-populated.

(D) Ineligible ITC

This section contains sub-categories as given below.

ITC is not available against the following:

• Motor vehicles and conveyances except where used for the supplies of specified services.
• Services such as food & beverages, outdoor catering, cosmetics, beauty treatment, and plastic surgery except where used for the supply of specified services.
• Membership of a club, such as health and fitness center.
• Rent-a-cab services.
• Health insurance & life insurance, except where it is obligatory under any law or supplied as part of a taxable composite or mixed supply.
• Travel benefits extended to employees on holiday such as leave or home travel concession.
• Works contract services when supplied goods for the construction of an immovable property (other than plant and machinery).
• Goods and services used for the construction work of an immovable property on your own account.
• Supplies of goods on which tax is paid under the composition scheme.
• Goods and services that are received by a non-resident person except imports.
• The Goods lost, destroyed, stolen, written off, or disposed of by way of gift or free samples.
• Goods and services used for personal consumption.
• Any other credit that may be ineligible.

(1) As per section 17(5)

Note: This contains report credit which is not available to you.

(2) Others

5. Values of exempt or nil rated & Non-GST inward supplies of goods

Note: In this section of Form GSTR-3B, registered taxpayers are required to provide a report of any purchase of goods or services that was made by him/her, from a composite dealer that is exempt, nil rated or non-GST i.e., inward supplies which are not covered under GST.

The details of inward supplies or purchases of goods and/or services must further be reported separately as inter-State and intra-State supplies.

6.1. Payment of Tax

Note: In this section of Form GSTR-3B, registered taxpayers are required to provide a report of the final tax on the supplies made by him/her, which is payable by him/her and which matches details as that of section 3.1 mentioned above.

Also, the amount is to be reported separately for IGST, CGST, SGST/UTGST, and Cess, if any. In addition to the amounts, taxpayers are also required to report the credit availed against these, which is under section 4(C) of the GST Act.

The balance tax should deposit by the taxpayer which will appear under column 8, along with the deposit of any interest or late fee.

6.2. TDS/TCS Credit

Note: This section captures the details of TDS/TCS credit available on applicable supplies. As of now, this section is not applicable until further notice by the GST Council.