Changes in reporting of input tax credit in GSTR-3B [Notification No. 14/2022 – Central Tax dated 5th July 2022 read with Circular No.170/02/2022 dated 6th July 2022] is as below:
Changes relating to supplies through E-commerce operators.
As per Section 9 (5) of the CGST Act (and the corresponding provisions under the SGST Acts, IGST Act, UTGST Act), for certain notified supplies made through E-commerce operators, the tax has to be paid by the E-commerce operator and not by the actual suppliers. The following services are notified under Section 9 (5).
• Transportation of passengers by radio taxi, motor cab, maxi cab, motor cycle,or any other motor vehicle.
• Hotel accommodation (except where the Hotel is registered)
• Housekeeping, plumbing and carpentry.
• Supply of food.
| Person required to report | New Reporting Table | Old Reporting |
| The E-commerce operator, who pays tax for such supplies under Section 9(5) | Table 3.1.1 (i) of GSTR-3B | Table 3.1 (d) |
| Supplier for whom tax is paid by E-Commerce operator under Section 9 (5) | Table 3.1.1 (ii) of GSTR-3B | Table 3.1(c) |
Mandatory furnishing of correct and proper information of inter-State supplies and amount of ineligible/blocked Input Tax Credit and reversal thereof in return in FORM GSTR-3B and statement in FORM GSTR-1
| Table No. | Reporting Information |
| Reporting of inter-state supply(Table 3.2 of FORM GSTR-3B) | Furnishing of information regarding inter-State supplies made to unregistered persons, composition taxable persons and UIN holders as required to be declared in, under the notion that the taxable value of the same along with tax payable has already been reported in Table 3.1 of the said FORM. |
| Reporting of inter-state supply (Table 3.2 of FORM GSTR-3B) | Inter-state sale should report place of supply-wise, even though the details of said supplies are already part of the supplies declared in Table 3.1 of the said FORM. Advised that the registered persons making inter-State supplies to the unregistered persons, shall also report the details of such supplies, place of supply-wise, in Table 3.2 of FORM GSTR-3B and Table 7B or Table 5 or Table 9/10 of FORM GSTR-1, as the case may be; to the registered persons paying tax under section 10 of the SGST/CGST Act (composition taxable persons) and to UIN holders, shall also report the details of such supplies, place of supply-wise, in Table 3.2 of FORM GSTR-3B and Table 4A or 4C or 9 of FORM GSTR-1, as the case may be, as mandated by the law. Ensure that correct POS is declared in the tax invoice and in Table 3.2 of FORM GSTR-3B while filing their return, so that tax reaches the Consumption State as per the principles of destination-based taxation system. Amendment carried out in Table 9 or Table 10 of FORM GSTR-1 or any entry in Table 11 of FORM GSTR-1 relating to such supplies should also be given effect to while reporting the figures in Table 3.2 of FORM GSTR-3B. |
| Input Tax Credit Reporting (Table 4 (B) (1). | Registered person will report reversal of ITC, which are absolute in nature and are not reclaimable, such as: Reversal of credit by a banking company or a financial institution (Rule 38), Reversal on input and input services on account of supply of exempted goods or services (Rule 42), Reversal on capital goods on account of supply of exempted goods or services of the CGST Rules and Reporting ineligible ITC under section 17(5) of the CGST Act in Table 4 (B) (1) (Rule 43) Amendment Earlier, blocked credit under Section 17 (5) would not form part of Table 4A and would be shown only in Table 4D (1). Now, even such blocked credits under Section 17 (5) shall be included in Table 4A and reversed through Table 4B (1). Similarly, the Banking companies and Financial Institutions, who opt to avail 50 % ITC under Rule 38, shall show the entire ITC in Table 4A and show the 50 % reversal in Table 4B (1). In Table 4 B (2), all other reversals, other than what is covered in 4B (1) have to be shown. |
| Input Tax Credit Reporting Table 4 (B) (2) | Registered person will report reversal of ITC, which are not permanent in nature and can be reclaimed in future subject to fulfilment of specific conditions, such as: 1. Non-payment of consideration to supplier within 180 days(Rule 37 of CGST Rules), 2. Section 16(2)(b) and section 16(2)(c) of the CGST Act in Table 4 (B) (2). Such ITC may be reclaimed in Table 4(A)(5) on fulfilment of necessary conditions. Further, all such reclaimed ITC shall also be shown in Table 4(D)(1). |
| Input Tax Credit Reporting Table 4(D) | As the details of ineligible ITC under section 17(5) are being provided in Table 4(B), no further details of such ineligible ITC will be required to be provided in Table 4(D)(1). ITC not available, on account of limitation of time period as delineated in the CGST Act or where the recipient of an intra- State supply is located in a different State / UT than that of place of supply, may be reported by the registered person in Table 4D (2). Such details are available in Table 4 of FORM GSTR-2B. · |
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