GSTR-3 (GOODS AND SERVICES TAX RETURN-3) is a monthly return with the content of sales, purchases, and sales during the month along with the amount of GST(GOODS AND SERVICE TAX)Liability. Form GSTR-3B is a simplified summary return and the purpose of the return is for taxpayers to declare their summary GST liabilities for a particular tax period and discharge these liabilities. A normal taxpayer is required to file Form GSTR-3B returns for every tax period.
MEANING
GSTR-3 is a self-declared summary GST return filed every month (quarterly for the QRMP scheme). Taxpayers need to report the summary figures of sales, ITC claimed, and net tax payable in GSTR-3. A separate GSTR-3 must be filed for every GSTIN. It is a simple one that summarises your returns every month. As a taxpayer, one must fill in the details and submit this form monthly, starting in July. In addition, one has to collate and list the total values of sales and purchases for the business in this form.
For these, invoice details are not required as this form justifies the monthly transactions and keeps a record of them for later purposes. On submission of GSTR – 1, GSTR – 2, and GSTR- 3 forms for the corresponding months, the income tax department will tally the claims against the monthly transaction reports. We are pleased to present before our members and other stakeholders this e-book, Detailed Analysis of GSTR 1 and GSTR 3B.
IMPORTANT INFORMATION ABOUT THE GSTR-3
Taxpayers are required to declare their GST liabilities for a particular tax period and discharge these liabilities in Form GSTR-3. A normal taxpayer is required to file Form GSTR-3B returns for every tax period applicable.
SCOPE OF GSTR-3
It is a summary of outward and inward supplies and the tax liability for the tax period. However, GSTR-3 has also been suspended since July 2017. eligibility for GSTR-3 The individual must be registered under GST and have a 15-digit PAN-based GSTIN. The individual must have also filed their GSTR 1 and GSTR 2 returns.
GSTR-3 ALL YOU NEED TO KNOW
GSTR-3 Need to be filed monthly and the taxpayer must give details of their interstate movement of the goods. Apart from goods sales, purchases for the goods, sales, purchases for the month along with the tax liability of taxation. The GSTR-3 return is an auto-generated return that derives its information from the GSTR-1 and GSTR-2 forms.
LEGALITY
As per proviso to section 39 (9) of CGST Act 2017, amended by the Finance Act, 2022. Rectification of any omission or incorrect particulars shall be done before the 30th of November month following the end. It should be at the end of the financial year to which such details pertain, or the actual date. Furnishing of relevant annual return, whichever is earlier.
CONCLUSION
GST reduces the burden of taxes and ensures compliance with tax payments. The number of compliances is lesser. Thus, GST simplifies the taxation process and helps in the ease of doing business. GSTR-3 involves information on the inward and outward supplies, input tax credit, and tax liability. GSTR-3B, on the other hand, is a simplified form that only requires the total turnover and the tax liability based on the outward supplies and input tax credit.
This Blog is written by Kratika Pal.
