Important Changes in Form GSTR-9 and GSTR-9C

Arjuna (Fictional Character): Krishna, CBIC has issued new notification dated 14th November, 2019, what was it about?

Krishna (Fictional Character): Arjuna, Government has come up with long awaiting simplification in Forms of GSTR-9 and GSTR-9C for Financial Year 2017-18 and F.Y 2018-19. The due dates for filing GSTR and GSTR-9C for F.Y. 2017-18 has been further extended till 31st December, 2019 and for F.Y 2018-19 has been extended till 31st March, 2020.

Arjuna: Krishna, What are changes made for outward supplies in Form GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19?

Krishna: Arjuna, The changes made for outward supplies in GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19 are as follows:

1. Taxable Outward Supplies:

• Now one has option to report taxable outward supplies net of debit and credit notes in Table 4B to Table 4E.
• Now taxable outward supplies can be reported net of amendments in above-stated tables.

2. Outward Supplies on which tax is not payable:

• The taxpayer has option to show Exempted, Nil-rated, Non-GST in row of Exempted supplies.
• Now one has option to report such outward supplies in net of debit and credit notes in Table 5A to Table 5F.
• Now such outward supplies can be reported net of amendments in Table 5A to Table 5F.
• The taxpayer has option to provide particulars in Table 15 of Demand and Refund.

So, these are the major changes made for outward supplies Form GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19.

Arjuna: Krishna, What are changes made for inward supplies in Form GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19?

Krishna: Arjuna, The changes made for inward supplies in GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19 are as follows:

1. Inward Supplies:

• The taxpayer has option to report entire ITC under 'Input' row only.
• Inward Supplies on which tax is paid under Reverse Charge Mechanism:
• The taxpayer has option to report entire ITC of Table 6C and Table 6D in Table 6D only i.e. inward supplies received from registered persons liable to reverse charge.

Previously taxpayers were suppose to provide bifurcation of Input, Input Services and Capital Goods separately.

2. Import of Goods:
The taxpayer has option to report entire ITC under 'Input' row only.

3. Details of reversal of ITC:

• The taxpayer has option to report entire amount of reversal in Table 7H only.
• However, reversals on account of TRAN-1 (Table 7F) and TRAN-2 (Table 7G) are to be mandatorily reported.

4. GSTR-2A:

• For FY 2018-19, FORM GSTR-2A generated as on the 1st November, 2019 shall be auto-populated in this table. For FY 2017-18 and 2018-19, the registered person shall have an option to upload the details for the entries in Table 8A to 8D duly signed, in PDF format in FORM GSTR-9C (without the CA certification).

5. Transactions of previous year reported in subsequent financial year:

• The taxpayers have option to not report reversal of previous year made in returns of subsequent financial year in Table 12.

6. Taxpayers have option to provide HSN –summary for both outward and inward supplies in Table 17 and 18 respectively.

So, these are the major changes made in for inward supplies Form GSTR-9 for F.Y. 2017-18 and F.Y. 2018-19.

Arjuna: Krishna, what are the changes made in Form GSTR-9C for 2017-18 and F.Y. 2018-19?

Krishna: Arjuna, The changes made in Form GSTR-9C for 2017-18 and F.Y. 2018-19 are as follows:

• The taxpayer has option to not fill any data in Table 5B to Table 5N. All the adjustments can be reported in Table 5O i.e. in other adjustments.
• The taxpayer are given an option to not provide data of ITC booked in earlier F.Y and claimed in current year and ITC booked in current F.Y and claimed in subsequent year.
• Earlier, taxpayer had to provide expense head-wise details of ITC in Table 14 which was now made optional.
• In certification part word 'True and Fair' is substituted for word 'True and Correct.'
• Also, cashflow statement is to be provided only if, it is available

Arjuna: Krishna, what lesson the taxpayer should take from this?

Krishna: Arjuna, The simplification of form has provided ease to taxpayers. All the major complications are now made optional. It was welcome change in form by Government. Now, since the forms have been simplified and due date is extended, taxpayers can now timely file GST Annual Return and Audit Report.