In India’s Goods and Services Tax (GST) system, taxpayers are required to file different GST returns based on their business activities. Among the most commonly used GST returns are GSTR-1, GSTR-3B, and GSTR-9. While they may seem similar at first glance, each of these returns serves a distinct purpose and has different filing requirements. Understanding the key differences between these returns is essential for businesses to stay compliant with GST laws and avoid penalties.
In this blog, we will explain the purpose, due dates, content, and filing process of GSTR-1, GSTR-3B, and GSTR-9 in a simplified manner.
1. GSTR-1 – Outward Supply Details
Purpose
GSTR-1 is used for reporting outward supplies, i.e., the sales made by the taxpayer during a particular period. It contains details of all taxable supplies, both inter-state and intra-state, made by the taxpayer. It is a monthly or quarterly return, depending on the taxpayer’s turnover.
What Does It Include?
- Sales invoices issued to customers
- Credit and debit notes issued
- Exports and interstate supplies details
- HSN (Harmonized System of Nomenclature) code for goods or services
- GSTIN of the recipient (buyer)
Due Date
- Monthly filers: The due date is the 11th of the following month.
- Quarterly filers: The due date is the 13th of the month following the quarter.
Key Points to Remember:
- GSTR-1 should be filed for both regular taxpayers and those registered under the Composition Scheme.
- It ensures that the buyer’s ITC claim matches with the seller’s details.
2. GSTR-3B – Summary of GST Payable
Purpose
GSTR-3B is a summary return that businesses file to report their monthly or quarterly GST liability. It includes details of output tax, input tax credit (ITC), and the net tax payable. Unlike GSTR-1, which deals with outward supplies, GSTR-3B is about summarizing tax payable and tax credit.
What Does It Include?
- Details of Output Tax (Sales tax liability)
- Input Tax Credit (ITC) (Credits available for tax paid on purchases)
- Tax payable (Net tax liability after applying ITC)
- Other relevant taxes (e.g., GST on imports, reverse charge tax, etc.)
Due Date
- Monthly filers: The return is due on the 20th of the following month.
- Quarterly filers: The return is due on the 22nd of the month following the quarter.
Key Points to Remember:
- GSTR-3B is a summary of tax liabilities, unlike GSTR-1, which provides detailed information.
- Taxpayers must pay GST at the time of filing GSTR-3B.
- This return helps the government track the net tax payable and ITC utilization.
3. GSTR-9 – Annual Return
Purpose
GSTR-9 is the annual return that businesses need to file once a year. It is a comprehensive return that consolidates the data from the monthly/quarterly returns (GSTR-1 and GSTR-3B). GSTR-9 provides a complete summary of the business’s outward and inward supplies along with tax paid during the financial year.
What Does It Include?
- Details of outward and inward supplies (Sales and purchases during the year)
- Tax paid during the year (summary of taxes paid in GSTR-3B)
- ITC details
- Reconciliation of tax payable as per GSTR-3B and GSTR-1
Due Date
The due date for filing GSTR-9 is 31st December of the following financial year.
Key Points to Remember:
- GSTR-9 is an annual return and is filed after the close of the financial year.
- It helps reconcile monthly or quarterly returns with the final tax liability.
- GST audit is mandatory for businesses with annual turnover above ₹2 crore.
Key Differences Between GSTR-1, GSTR-3B, and GSTR-9
| Feature | GSTR-1 | GSTR-3B | GSTR-9 |
|---|---|---|---|
| Purpose | Report outward supplies (sales) | Report summary of GST liability & ITC | Annual return with consolidated data |
| Frequency | Monthly/Quarterly | Monthly/Quarterly | Annually |
| Due Date | 11th of the next month (monthly) / 13th (quarterly) | 20th of the next month (monthly) / 22nd (quarterly) | 31st December of the next financial year |
| Details Included | Outward supply, export, debit/credit notes | Summary of tax payable and ITC | Annual reconciliation, outward and inward supplies |
| Who Should File? | All regular taxpayers | All regular taxpayers | All taxpayers (except composition scheme) |
| Filing Mode | Online | Online | Online |
| Penalties for Non-Filing | Late fee, penalties | Late fee, interest | Penalty for delayed filing, audit required for large businesses |
Which Return Should You File?
- GSTR-1 is mandatory for reporting sales and outward supplies. All registered taxpayers, except those under the Composition Scheme, must file this return.
- GSTR-3B is a summary return that summarizes your tax liabilities and available ITC. It must be filed by all GST-registered businesses.
- GSTR-9 is an annual return that consolidates all the monthly or quarterly returns filed during the year. It must be filed by all taxpayers except those in the Composition Scheme.
📞 Need Help with GST Returns?
If you’re facing any difficulties related to filing GSTR-1, GSTR-3B, or GSTR-9, or need guidance on GST compliance, feel free to reach out to Taxeasy Solution for expert assistance:
📍 Taxeasy Solution
Supaul Bazar, Biraul,
Darbhanga, Bihar – 847203
📞 Mob: 6289187606
📧 Email: jhajp96@gmail.com
