We have entered ‘inward supplies’ as ‘reverse charge inward supplies’ in GSTR 3B – Now what to do?

1.0 Introduction

Taxpayers under GST are filing their returns in a hurry and committing a lot of mistakes which is leading to a lot of confusion for them. Under this article, we shall discuss one of the queries which have led to additional tax liability for the tax payers.

2.0 Detailed query

We have entered ‘inward supplies’ as ‘reverse charge inward supplies’ in GSTR 3B. Due to this error, tax liability under reverse charge opens up and due to this return under GST cannot be filed without making payment under GST.

Hence, the real problem is that how we can proceed from this situation and get the GSTR 3B filed.

3.0 Possible solution

Though there is no perfect solution available to this query, as it is not possible to edit the GSTR 3B once you have submitted the data. Hence, in this case the only solution is to pay the taxes under reverse charge and claim the same as Input Tax Credit (ITC).

However, in some cases, the liability may arise can be huge and due to this one might not pay the tax under reverse charge. But in any case you must appreciate one thing that whatever you are paying, you can claim the same as ITC. Therefore you can mark it as advance payment of tax which can be set off with future tax liability.

4.0 Any other solution?

If you think it is not possible for you to pay the tax and file the return, then you must visit the tax department and ask for the possible solution.

5.0 Conclusion

In case you have any doubt, please email us at info@hubco.in.