September GST Filing Updates: Important Changes to Note

As per Notification No. 12/2024- Central Tax dated 10 July, 2024 published by the Central Board of Indirect Taxes and Customs (CBIC), major changes in the GST Act will have an impact in the GST returns filing:

Revised Reporting Threshold

If the value of supply of goods or services or both is greater than "one lakh rupees", the supplier shall report the same in the Form GSTR-1’s table B2CL (Business to Consumer Large) before filing Form GSTR-3B (previously, it was "two and a half lakh rupees"). This has been made available with effect from 1st August, 2024.

Reporting of Negative Liability

Taxpayers will now have the option to report any negative liability in Form GSTR-3B (Table No. 3), which will be carried forward and automatically adjusted in the following month’s return which helps in providing smoother reconciliation process.

Blocking of GSTR-1

Tax payers who have not updated and validated their bank account details during their GST registration shall be blocked which in turn, the tax payers will not be allowed to file their GSTR-1 returns (outward supply returns) or Invoice Furnishing Facility (IFF). This is crucial for processing refunds and other transactions. GST Rule 10A has made it compulsory to furnish bank account details within 30 days from the date of registration.

Availability of Forms

GSTR-9 & GSTR-9C shall be made available for annual compliance requirements. (Annual Return & Reconciliation Statement)

Availability of ITC Reversal Summary

A new table under Rule 37A will be added for ITC reversal summary which allows the taxpayers to reverse the ITC availed on supplies by 30th November of the following financial year. This table will be available in GSTR-2B.

Updates in Form GSTR-9

Two new line items have been added in Table 4 and 5 in relation to supplies made through E-Commerce operator u/s 9(5) namely

Table 4G1

Supplies on which e-commerce operator is required to pay tax as per section 9(5) (including amendments, if any) [E-commerce operator to report]

Table 5C1

Supplies on which tax is to be paid by e-commerce operators as per section 9(5) [Supplier to report]

Updates in Form GSTR-8

Details of supplies made through e-commerce operators needs to be reported in accordance with the Place of Supply (POS). Hence, there is a requirement of breakup of supplies made on the basis of POS, specifying where the goods or services were delivered for better tracking of tax obligations.

It is advisable for the taxpayers and businesses to be updated with the changing regulatory requirements and amendments which may impact their accuracy in financial reporting