GSTR-2B: How to Reconcile ITC, Benefits, How GSTR 2B is different from GSTR 2A

What is GSTR-2B which is being reflected on GST Portal?

GSTR-2B has been launched by the government as a move to make advancement in the existing system of GST return filing. GSTR 2B is an auto-drafted statement which contains the details about Input tax credit with some additional features than GSTR-2A. It is live on GST Portal (gst.gov.in) for the month of July 2020.

As you know that New Gst return (RET-1, RET-2 and ANX-1, ANX-2) was proposed and was scheduled to be implemented from April 2020. However the government has put the new GST return Form on hold until further notification.

GSTR 2B will help taxpayers in the reconciliation and matching of Input tax credit periodically as it automatically reflects all inward supplies and corresponding tax paid thereon.

GSTR-2B will be generated on GST Portal for every taxpayer and will be available to download for every month, on the 12th day of next month.

Taxpayers can track all the ITC in GSTR 2B which will be generated on the basis of the GSTR-1 (filed by regular taxpayers), GSTR-5 (Filed by Non-Resident taxable person) and GSTR-6 (Filed by Input Service distributer).

Features and Benefits of GSTR 2B for Filing GST Return

  1. GSTR 2B contains the input tax credit on inward supplies from any regular taxpayers, non-resident taxable persons, and input tax credit distributed by the input service distributor.
  2. It also shows the information on the import of goods (which is available on ICEGATE). It will also show the supplies received from SEZ Unit/Developers. This section is not available in GSTR-2A.
  3. It also contains a summary statement showing Input Tax Credit available and non-available for every section. Also, An advisory for each section will be given which will guide the taxpayers about its treatment in GSTR-3B.
The Section “input tax credit not available” in GSTR-2B contains the ITC which is of two types:
  • The time limit to avail input tax credit has expired under section 16(4) of the CGST Act or
  • The state of the supplier and place of supply is the same, whereas the recipient is located in another state.

4. In GSTR-2B, There will be document-wise details such as invoices, credit notes, debit notes, which can be viewed and downloaded.

5. It can be view and downloaded in PDF file as well and If the statement contains more than 1,000 records, options for a full download of GSTR 2B and the advanced search is available.

6. GSTN will send email or sms automatically about generation of GSTR 2B

How to view/Download GSTR-2B on GST portal

Step 1: Log in to the GST portal using credentials to login.

Step 2: Navigate to the ‘Returns Dashboard’.

Step 3: Select the tax period for which GSTR 2B is required to access.

Step 4: Following screen will appear:

GSTR-2B ON GST PORTAL

Step 5: Click on the ‘Download’ button to save the statement on your system.

Comparison of GSTR-2A with GSTR-2B

Basis of ComparisonGSTR-2AGSTR-2B
Dynamic Vs Static StatementDynamic information, as it updated on daily basis,whenever supplier uploads the documentsStatic as the GSTR-2B for a month generates on the 12th of next month and not impacted due to later changes by supplier
When Available on Portal ?MonthlyMonthly
Information SourceGSTR-1, GSTR-5, GSTR-6, GSTR-7, GSTR-8GSTR-1, GSTR-5, GSTR-6, ICEGATE system
ITC on Import of GoodsIt does not reflect ITC paid as RCM on import of goodsIt reflects ITC on import of goods as obtained from ICEGATE system

Press Release for Launch of GSTR 2B for the Month of July 2020

GSTR 2A PRESS RELEASE
GSTR-2A PRESS RELEASE_2
For step by step guide on GSTR 2B, watch this video:
Source: CA Guru Ji YouTube Channel

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