GSTR 2 : Return Filing, Format, Eligibility & Rules

GSTR-2 can be defined as a purchase return that each GST registered person has to file mandatorily. While filing the GSTR 2 Return document, one has to enter details relevant to the inward supplies that they were a party of, among other things. 

When someone talks about the GSTR-2 form, they refer to the monthly tax return that shows the purchases that a GST registered person has made during a month. When a GST registered individual purchases from other registered vendors, the information pertaining to the same filed in the GSTR-1 form will be automatically made available in the GSTN portal under the GSTR-2A form for them to use the same during their process of filing the GSTR2 returns. However, it is advisable that the individual files the return in question; they must check this information, amend it if it feels necessary, and add any other details that have not been automatically added to the aforementioned return forms.

If, for instance, a GST registered person changes the information on their GSTR-2A and file the same as GSTR-2, the vendor from whom the purchase has been made/to whom the goods have been sold will be then notified and subsequently given a chance to amend their returns with the help of a GSTR-1A form.

Now that you have received an overview of what a GST2 return form is, it is important to know when the same must be filed. What you will find below is the time by when the procedure in question must be carried out. Read on to know more.

The details regarding the purchases made during a specific month must be filed before the 15th of the month that will follow. For instance, if you need to file GSTR2 for the month of March, you have to do the same before the 15th of April. Similarly, the GSTR2 for the month of April has to be filled in by the 15th of May, and so on.

The GSTR 2 filing process requires the GST-registered individual or business to fill out 13 essential points of information. Here are the details you need to fill out according to the GSTR 2 format:

• Name of the Taxpayer

• GSTIN, i.e., the unique PAN-based 15-digit Goods and Services Taxpayer Identification Number provided to all GST-registered entities

• Details of the inward supplies other than the supplies that attract a reverse charge

• Inward supplies on which tax is to be paid as reverse charge - details about the purchased goods that attract a reverse charge

• Capital goods and inputs received from SEZ units or overseas on a bill of entry

• Amendments to details of inward supplies that were supplied in returns for previous periods of taxation

• Supplies availed from composition taxable persons, GST supplies received that are exempt/nil rated, and non-GST supplies

• Input Tax Credit, or ITC, received from a registered Input Service Distributor

• Details about any TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) received, such as from an e-commerce platform

• A consolidated statement detailing all advances paid and adjusted on account of receipt of supply

• Details about any reversal or reclaim of input tax credits

• Details about any reduction or addition of sum in output tax in case of mismatch or other cases

• HSN wise summary of goods purchases as inward supplies. In this context, HSN refers to the “Harmonized System of Nomenclature”- a commonly used system for the systematic classification of goods

If an individual fails to GSTR-2 before the due date or for a particular month, they will attract a late fee for each and every day they delay the filing process. The way that works is that the registered taxpayer will be fined ₹100 per day, with the upper ceiling being at ₹5,000.

If you would like to learn more about the various kinds of forms a registered