GST dept issues Clarifications regarding Issues relating to Incorrect Reporting of GSTR-1 and ITC Claim [Read Circular]

The Goods and Services Tax (GST) department, Mumbai has released a clarification addressing the issues relating to the incorrect reporting of GSTR-1 and ITC claim.

With regard to the errors in GSTR-1 such as reporting B2B transactions as B2C, ultimately resulting in excess liability, it was clarified that the proper officer shall require the taxpayer to submit transaction-wise details of outward supplies and reconcile the same with the return, identify and figure out the transactions accordingly.

In case of typographical errors, it was clarified that the proper officer shall require the taxpayer to submit transaction-wise details of outward supplies and reconcile the same with the return. In case of exports, the clarification stated that the same shall be considered while granting refund.

The clarification further dealt with the issue of difference in ITC claim of GSTR-3B and ITC available in GSTR-2A, stated that “in cases where the difference in ITC claim per supplier is Rs. 2.5 lakhs or more, ask the claimant to obtain certification from Chartered Accountant of the said supplier certifying the output transactions and tax paid thereon so as to comply with the provisions of section 16.”

CIRCULAR NO: 02A of 2022

DATE: 25/02/2022

 To Read the full text of the Circular CLICK HERE

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