Inward Supplies in GSTR 4

Share This Article
  •  
  •  
  •  
  •  
  •  
  •  
  •  
  •  

Inward Supplies in GSTR 4

Is it mandatory to furnish inward details in GSTR 4(Annual Return)?

YES, it is mandatory to furnish the inward details in GSTR 4 (Annual Return).  Let’s clear the air that has been created for furnishing inward supply details in GSTR 4. It certainly may not be a cakewalk to furnish the details of inward supply but it is not that difficult too as composition taxpayers are just required to provide the total figures rate-wise corresponding the GSTIN i.e supplier wise.  Due date of GST 4 for FY 2019-20 has been extended but the Government has not provided any relaxation in furnishing the details of inward supplies.

Why all the details of inward supplies are not getting auto-populated?

It is possible that a robust integrated system is not in place which can auto-populate the inward details hence composition taxpayers are asked to provide the details of inward supplies.

Composition taxpayers do not get the credit of tax paid on inward supplies, hence Government has left it to composition taxpayers to just give the total figures rate-wise corresponding the GSTIN i.e supplier wise.  And not bother them to match their inward supplies with what would have reflected by way of the auto-populated feature under GST.

It is also possible that the Government intends to cross-check whether suppliers of composition taxpayers have reflected the same correctly in their GST returns.

Details required to furnish GSTR 4

Login on the GSTN portal with valid login credentials.

On the dashboard,  navigate through the following path (Services>Returns>Annual Return) to file the GSTR 4(Annual Return) for FY 2019-20.

Financial Year needs to be selected from the drop-down list. ( For now, the FY by default will be 2019-2020 as this return will be filed for the first time.)

Then the option for filing online as well as using offline utility will be active.  i.e.“Prepare online” or “Upload/Download JSON”

Details of the aggregate turnover of the previous FY  should be entered in the space provided and then click “SAVE”.

(Note: It is mandatory to enter a  value against the aggregate turnover tab. Even “Zero” is a valid entry but it cannot be left blank.)

Then from the dropdown list one by one a table needs to be selected to provide the details.

After filling in all the required details in tables one needs to “proceed to file” and file the return with either DSC or EVC.

Table 4A – Inward supply from registered supplier (Other than reverse charge)

Details of inward supplies from registered suppliers (other than reverse charge) are to be given SUPPLIER wise i.e. GSTIN wise and NOT BILL wise.

The following details will be required for each supplier – GSTIN, Trade/Legal name, Place of Supply, Taxable Value, and GST rate.

All the inward supplies from one registered supplier (other than reverse charge) during the financial year should be first bifurcated rate wise and then the total taxable values needs to be entered against the corresponding rate.

Note: If there is any purchase return then the same should be considered by netting it off. 

Table 4B – Inward supply from registered supplier (reverse charge)

Details of inward supplies from registered suppliers u/s 9(3) (reverse charge) are to be given SUPPLIER wise i.e. GSTIN wise and NOT BILL wise.

The following details will be required for each supplier – GSTIN, Trade/Legal name, Place of Supply, Taxable Value, and GST rate.

All the inward supplies from one registered supplier (reverse charge) during the financial year should be first bifurcated rate wise and then the total taxable values needs to be entered against the corresponding rate.

Note: If there is any purchase return then the same should be considered by netting it off. 

Table 4C – Inward supply from an unregistered supplier

Detail of inward supplies from an unregistered supplier are to be given SUPPLIER wise i.e. PAN wise and NOT BILL wise.

The following details will be required for each supplier – PAN, Trade/Legal name, Place of Supply, Taxable Value.

Total taxable values of all the inward supplies from the unregistered suppliers during the financial year needs to be entered.

Details of inward supplies attracting reverse charge from unregistered supplier shall also be included n this table by checking the box “reverse charge”.

Practical problem –  It is possible that the composition taxpayer might not have PAN of various unregistered suppliers from whom inward supplies have been availed during the financial year. But neither the online filing nor the offline filing allows to proceed if more than one entry is made without the details of PAN. A clarification in this regard from the Government is awaited.

Table 4D – Import of services

Detail of import of services is to be given rate wise and NOT BILL WISE/Supplier wise.

The following details will be required for imports  – Place of Supply, Taxable Value and Tax rate.

The total import of services-rate wise during the financial year needs to be entered.

Note 1) Place of supply will be the state in which the taxpayer is registered.
        2) Details of the import of goods will not be reported in this table.

Table 5  Summary of self-assessed liability as per Form CMP 08

In this table, details relating to total outward supplies including the exempt supplies and the total taxes paid during the financial year will auto-populate from the quarterly return CMP 08  filed for the financial year.

Table 6 Tax rate wise inward and outward supplies

Details of actual outward supply-rate wise during the financial year needs to be provided against the corresponding rate.

The total of actual outward supply may be the same as it was declared during the financial year while furnishing Form CMP 08  as it reflects in Table 5. But if the actual outward supply is more or less than the declared outward supply in Form CMP 08 then the correct/actual figure of outward supply rate-wise shall be entered in Table 6.

  • If the annual turnover is more than the declared turnover in CMP 08 then the correct/actual figure of aggregate turnover shall be shown in this table.

Additional tax liability shall be discharged while filing the return.

  • If the annual turnover is less than the declared turnover in CMP 08 then the correct/actual figure of aggregate turnover shall be shown in this table.

>A composition taxpayer will not be able to claim a refund of excess taxes paid, as at present there is no form or system available where a composition taxpayer can claim the refund. A clarification from the Government in this regard is awaited from Government.

Table 7 TDS/TCS credit received

In this table, details relating to TDS deducted during the financial year will auto-populate.

Note: As per section 52, composition taxpayers have been expressly disallowed to supply through an e-commerce operator. Hence reflection of any credit on account of TCS received from e-commerce operator under this table is out of the question. 



Click below to receive regular updates

  

You may also like:
CA Ankita Khetan
Latest posts by CA Ankita Khetan (see all)