What is GSTR 1, GSTR 2, GSTR 3B & GSTR 9 | Must know GST Return | Easy Explanation | myBooks

Summary

This tutorial provides a comprehensive overview of key GST returns in India, specifically GSTR 1, GSTR 2, GSTR 3B, and GSTR 9. It explains the essentials of each form, their due dates, and who is required to file them. GSTR 1 and 2 cover sales and purchases, respectively, while GSTR 3B focuses on tax payment. GSTR 9 is an annual return that consolidates all transactions from the year. The video highlights the importance of timely filing to ensure compliance, especially for businesses of various turnover sizes, helping entrepreneurs understand their GST obligations.

Takeaways

• 😀 GST stands for Goods and Services Tax, an indirect tax used in India on the supply of goods and services.
• 😀 GSTR (Goods and Services Tax Return) is a document that includes information on sales, purchases, input tax, and output tax.
• 😀 There are 11 types of GSTR, from GSTR 1 to GSTR 11, though not all are universally applicable to everyone.
• 😀 GSTR 1 is the return for outward supplies, which details sales or services made, including the amount of GST charged and other transaction details.
• 😀 All registered persons (normal taxpayers) must file GSTR 1. The due date is the 11th of every month, or quarterly if turnover is under ₹1.5 crores.
• 😀 GSTR 2 is for reporting detailed purchases or services received, due on the 15th of each month, with the same turnover exemption for quarterly filing.
• 😀 GSTR 3B is a return for tax payment, filed monthly, with the due date on the 20th. Taxpayers can file quarterly under the QRMP scheme, but must still pay taxes monthly.
• 😀 GSTR 9 is an annual return that includes information from GSTR 1, 2, and 3B. It summarizes all business transactions for the year and is due on December 31st.
• 😀 Businesses with an annual turnover of over ₹2 crores must file GSTR 9. However, input service distributors, casual taxable persons, and non-resident taxable persons are exempt from filing it.
• 😀 The GSTR returns are primarily for reporting purposes, with payments made through GSTR 3B, which ensures the government receives the collected taxes.

Q & A

What is GST and how is it used in India?

GST, or Goods and Services Tax, is an indirect tax levied on the supply of goods and services in India. It is used to streamline the taxation system, replacing various other taxes like VAT and service tax, and applies to businesses involved in the supply of goods and services.

What is the purpose of filing GSTR?

The purpose of filing GSTR (Goods and Services Tax Return) is to report sales, purchases, input tax, and output tax details to the government. Input tax refers to taxes paid on purchases, and output tax refers to taxes collected on sales.

How many types of GSTRs are there?

There are 11 types of GSTRs, ranging from GSTR-1 to GSTR-11. These are used for different types of transactions or business sectors, with each GSTR serving a specific purpose in the reporting of GST-related information.

What is GSTR-1 and who is required to file it?

GSTR-1 is a return for reporting outward supplies (sales and services). It must be filed by all registered taxpayers. The return includes details of sales, GST charged, and the parties involved. It is due on the 11th of every month, or quarterly for businesses with an annual turnover under ₹1.5 crore.

What is the due date for filing GSTR-1?

The due date for filing GSTR-1 is the 11th of every month. However, businesses with an annual turnover under ₹1.5 crore can file GSTR-1 on a quarterly basis.

What is GSTR-2 and how does it relate to GSTR-1?

GSTR-2 is a return for reporting purchases and services received. It is related to GSTR-1 because it captures the purchase details corresponding to the sales reported in GSTR-1. GSTR-2 must be filed by all registered taxpayers and is due on the 15th of every month.

What is the difference between GSTR-1 and GSTR-2?

The key difference between GSTR-1 and GSTR-2 is that GSTR-1 deals with the sales or outward supplies of a business, while GSTR-2 focuses on the purchases or inward supplies. Both returns are reporting tools and do not require tax payments.

What is GSTR-3B and why is it important?

GSTR-3B is a return used for tax payments. It must be filed by all registered taxpayers and contains details about the tax payable, input tax credit available, and the amount of tax to be paid. It is due on the 20th of every month, though businesses under the QRMP scheme can file it quarterly.

Who must file GSTR-9 and when is it due?

GSTR-9 is an annual return that consolidates GSTR-1, GSTR-2, and GSTR-3B for the entire financial year. It must be filed by all registered taxpayers with an annual turnover above ₹2 crore. The due date for filing GSTR-9 is 31st December of the following year after the financial year.

What types of businesses are exempt from filing GSTR-9?

Certain categories of GST-registered entities are not required to file GSTR-9. These include Input Service Distributors, Casual Taxable Persons, and Non-Resident Taxable Persons.