Latest Updates to GSTR-9 and GSTR-9C

Here’s a detailed overview of the latest changes in the GSTR-9 and GSTR-9C forms:

Change in Source of Input Tax Credit (ITC) Data

The biggest update in GSTR-9 is in Table 8A, where ITC details are now sourced from GSTR-2B instead of GSTR-2A. GSTR-2B is an auto-generated statement that reflects the invoices uploaded by suppliers. This change, effective from FY 2023-24, simplifies ITC reconciliation and reduces manual work for taxpayers.

New Entries in GSTR-9

To improve reporting for e-commerce activities, two new tables have been added:

• Table 4G1: E-commerce operators must report supplies where they pay tax under Section 9(5).

• Table 5C1: Suppliers using e-commerce platforms need to report their tax liabilities under Section 9(5).

Updates in GSTR-9 Reporting

Several tables have been revised for better clarity and ease:

• Tables 5D, 5E, 5F: Businesses should now report exempted, nil-rated, and non-GST supplies separately or opt to report exempted and nil-rated supplies together.

• Tables 5H, 5I, 5J, 5K: Credit notes, debit notes, and supply adjustments can be made directly within these tables.

• Tables 6B & 6C: ITC reporting is now more detailed, with capital goods separated out. ITC under Reverse Charge Mechanism (RCM) can be consolidated and reported in Table 6D.

Optional Reporting in GSTR-9

Certain tables have been made optional to reduce the compliance burden:

• Tables 12 & 13: Reporting of ITC availed and reversed in the next financial year is now optional.

• Table 15: Reporting refund and demand details is optional.

Mandatory Reporting in GSTR-9

Some requirements remain mandatory:

• Tables 17 & 18: Reporting HSN codes is compulsory—six-digit HSN codes for taxpayers with turnover above ₹5 crore and four-digit HSN codes for B2B supplies for those with turnover up to ₹5 crore.

Updates in GSTR-9C

To simplify audits and reconciliation, GSTR-9C has also been updated:

• Table 14: Reporting of expense-wise ITC availed as per books is now optional, easing the reporting for businesses with fewer ITC entries.

Better Data Integration

Data from GSTR-1, GSTR-3B, and GSTR-2B are now more tightly linked, requiring businesses to ensure their records match across these filings for smooth compliance