Q. 186 My client declared Rs.57 lakhs excess sales in GSTR-3B of October 2021. It is happened in the following way. Until September 2021, he filed quarterly return of GSTR-3B. While filing GSTR-1 foir Quarter2 from July to sept 2021, their B2C sales have been under declared to teh extent of Rs.57 lakhs. But, they showed in September 2021 GSTR-3B. From October onwards, they filed month wise. While filing GSTR-1 of October 2021 month, they amended the B2C sales of September 2021. After making the amendment, the sale of September is correctly reported in GSTR-1 by including Rs.57 lakhs. While filing GSTR-3B of October 2021, the total sales including the amended sales were auto populated and included in such sales. The output tax @ 5% is also arrived automatically. The client has not verified the earlier return and filed the October GSTR-3B as it is shown. One more interesting point is my client is having more input credit during that year. Ultimately, the sales during the year 2021-22 shown excess of Rs.57 lakhs in GSTR-3B. How can this can be reduced the sales and Out tax from GSTR-3B? Can we reduce the amount of Rs. 57 lakhs from the sales of next month’s GSTR-3B, if the total sales are more than Rs.57 lakhs for August 2022? Please advise the solution to this problem.

Ans.In the above-mentioned case, no amendment is required in FORM GSTR-1 as the missing details have been included in the return. However, discrepancies still lies in FORM GSTR-3B as it still includes excess sales of INR 57 lakhs It can be resolved as, either you can adjust tax liability in succeeding FORM GSTR-3B or can proceed under refund for “excess payment of tax”.