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Comparison B/w GSTR 2A & GSTR 2B with Key Features

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By Arpit Kulshrestha

The government has decided to stay with the current GST (Goods and Services Tax) return filing system for the present. Earlier the Government was planning to bring a new GST return filing system along with forms ANX-1, ANX-2, RET-1 and RET-2 but now it has been put on hold until the new update. Government chose to introduce advanced features to the old system instead of launching the new return filing system.

Difference Between GSTR 2A vs GSTR 2B

Some Decisions That are Taken in 39th GST Council Meeting

To prevent tax evasion, Govt. has decided to link the outward supply details in form GSTR 1 with liability in form GSTR 3B. The input tax credit in form GSTR 3B will then be linked to the details of supply shown in form GSTR 2A. There will also be initiatives to implement Aadhaar authentication and spike rules, to reduce evasion and prevent gaming of the system.

A measure to deal with the issue related to ITC was also recommended to the Council of the introduction of Auto-Draft Input Tax Credit statement which will help in assisting/ determining the input tax credit which is available for each taxpayer. 

The government also launched Form GSTR 2B, which is for the input tax credit. It will help the government and assess both the inputs and outputs matching the ITC in the form GSTR-1 and GSTR 2A, GSTR 3B, accordingly.

What is GSTR 2B?

GSTR-2B is an auto-drafted statement, these statements will be auto-generated for every registered person on the basis of details provided by the supplier in the GSTR-1 or GSTR-5, or GSTR-6. It is a static statement and will be available on 12th of every following month. It will be available from July 2020 onward and for example, for July month this statement can be accessed on August 12, 2020.

Features of GSTR 2B

  • This statement includes details on the import of goods from the ICEGATE system including details of the inward supply of goods received from specific economic zones units /developers.
  • It allows assessees to reconcile the data generated in form GSTR 2B with their records and accounts book. With it, furnishing their Form GSTR 3B is possible and easier, they can ensure that no credit is taken twice, the credit is reversed in accordance with the law, and tax on the reverse charge basis Is paid.
  • This includes all documents provided by suppliers / ISDs in their forms GSTR 1, 5 and 6 from 00:00 hours on the 12th day of the previous month till 23:59 hrs on the 11th day of the current month.
  • This statement also includes details on the import of goods from the ICEGATE system which also includes details on imports from Special Economic Zone units/developers. However, this statement does not have details of Reverse charge credit on import of services and taxpayers have to record it in Table 4 (a) (2) of FORM GSTR-3B.
  • It also features document-wise details of ITC eligibility, the contents of GSTR-2B is listed below:
    • The summary statement in which ITC is available or not will be clearly shown.
    • Advice for each section explaining what action taxpayers have to take.
    • With “view and download” document-wise details like invoices, credit notes, debit notes etc.
    • Cut-off dates and advisories for creating and using GSTR 2B.
    • Import of goods and imports from SEZ units/developers (available from GSTR 2B of August 2020).

Difference Between GSTR 2A and GSTR 2B

  • GSTR 2A is dynamic; it changes from day to day whereas GSTR-2B for one month cannot change on the basis of future acts of the supplier
  • GSTR 2A fetch information from GSTR-1, GSTR-5 (NR), GSTR-6 (ISD), GSTR-7 (TDS), GSTR-8 (TCS) whereas GSTR 2B fetch details from GSTR-1, GSTR-5, GSTR-6, ICEGATE system
  • GSTR 2A doesn’t feature details of ITC related to Import of Goods but GSTR 2B features details of ITC on import of goods from ICEGATE system

The recently released Form GSTR 2A has been explained here, however, all the taxpayers are advised to get more details from the released advisory relating to GSTR -2B available on the common portal. A taxpayer can view and download their GSTR 2B by signing in to the GST Portal and then navigation to Return Dashboard >Select Return period >GSTR 2B

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