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Intuit
‎September 25, 2019 08:19 PM

The GSTR3B (GSTR 3B) report in QuickBooks

The GSTR 3B  report is now available in QuickBooks. GSTR 3B is a summary level return of all outward and inward supplies that all GST registered businesses have to file on a monthly basis by the 20th. It is a self-declaration return and the tax payer is not required to provide invoice level information in this form. Only total values for each field have to be provided.

To access the GSTR 3B report in QuickBooks:

  1. Go to Reports.
  2. Select GSTR Reports (New) tab and then scroll down to GSTR 3B.
  3. Know more about locating and exporting this report.

Use the following information to understand how QuickBooks pulls in your transactions into this report.

Note well -

  • To be compliant, QuickBooks requires the use of items listed in the Products and Services list, appropriately aligned with HSN, SAC codes in all transaction types involving sales and purchases, i.e. Invoice, Sales Receipt (Cash Memo), Bill, Expense, Cheque.
    • This means that you must use forms and not journal entries to enter your sales and purchase transactions which are subject to any GST rate including Exempt and Nil.
    • On purchase forms, you must enter purchase line items in the Item details section only. Account details should not be used. Transactions, especially on the purchases side, will not reflect in the GSTR 3B if the Account details section has been used to record them in QuickBooks.
    • The GSTR 3B in QuickBooks will now pull transactions that have been entered using Account details.
  • All forms of the type Sales Receipt (Cash Memo) must have a Customer selected. The GSTR 3B will not pull Sales Receipt (Cash Memo) forms without a a Customer.
  • All forms of the type Expense must have a Supplier selected. The GSTR 3B will not pull Expense forms saved without a Supplier.

3.1a - Outward taxable supplies (other than zero rated, nil rated and exempted)

This section pertains to sales. Values will be picked up from transactions where all the following conditions are true.

Transaction Type
  1. Invoice
  2. Sales Receipt (Cash Memo)
  3. Credit Note
Customer GST Registration Type
  1. SEZ
  2. Overseas
Tax Codes
  1. Out of Scope.
    1. Note that Out of Scope is to be set at the transaction level, i.e. in the Amounts are dropdown.
    2. Transactions where 0% GST/IGST and Exempt GST/IGST have been selected in the line item level are not included here.

 

3.1.b Outward taxable supplies (zero rated)

This section pertains to sales. Values will be picked up from transactions where all the following conditions are true.

Transaction Type
  1. Invoice
  2. Sales Receipt(Cash Memo)
  3. Credit Note
Customer GST Registration Type
  1. SEZ
  2. Overseas
Tax Codes
  1. Out of Scope.
    1. Note that Out of Scope is to be set at the transaction level, i.e. in the Amounts are dropdown.

    1. Transactions where 0% GST/IGST and Exempt GST/IGST have been selected in the line item level are not included here.

 

3.1.c Other outward supplies, (Nil rated, exempted)

This section pertains to sales. Values will be picked up from transactions where all the following conditions are true.

Transaction Type
  1. Invoice
  2. Sales Receipt (Cash Memo)
  3. Credit Note
Customer GST Registration Type
  1. SEZ
  2. Overseas
Tax Codes
  1. All zero tax codes GST and IGST tax codes, i.e.
GST - Exempt GST (0%) 0% GST (0%)
IGST - Exempt IGST (0%) 0 % IGST (0%)

3.1.d Inward supplies (liable to reverse charge)

This section pertains to purchases. Values will be picked up from transactions where all the following conditions are true.

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
Products and Services
  1. Products and Service items with Reverse Charge enabled. Note that the Reverse Charge percentage in the GST regime is a uniform 100%.
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. GST registered - Regular
  2. GST unregistered
  3. SEZ (This registration type will be considered only if there is an item of the type Service in the purchase form)
  4. Overseas (This registration type will be considered only if there is an item of the type Service in the purchase form)
Tax Codes All GST or IGST tax codes, i.e.
GST - Exempt GST (0%) 0% GST (0%) 0.25% 3% 5% 18% 28%
IGST - Exempt IGST (0%) 0% IGST (0%) 0.25% 3% 5% 18% 28%

 

Section 3.2:

Of the supplies shown in 3.1 (a) above, details of inter-state supplies made to unregistered persons, composition taxable persons and UIN holders

3.2.a Supplies made to unregistered persons

This report pertains to sales. Values will be picked up from transactions where all the following conditions are true.

The Total Taxable Value and IGST value will be aggregated depending on the place of supply. This means that there will be a single line per state/union territory that the business has supplied goods/services in.

Note - This is the first of the two sections for which the Place of Supply column will be populated in the GSTR 3B.

Transaction Type
  1. Invoice
  2. Sales Receipt (Cash Memo)
  3. Credit Note
Customer GST Registration Type
  1. GST unregistered
  2. Consumer
Tax Codes All non-zero IGST tax codes, i.e.
IGST - 0.25% 3% 5% 18% 28%

 

3.2.b Supplies made to Composition Taxable Persons

This section pertains to sales. Values will be picked up from transactions where all the following conditions are true.

The Total Taxable Value and IGST value will be aggregated depending on the place of supply. This means that there will be a single line per state/union territory that the business has supplied goods/services in.

Note - This is the second of the two sections for which the Place of Supply column will be populated in the GSTR 3B.

Transaction Type
  1. Invoice
  2. Sales Receipt (Cash Memo)
  3. Credit Note
Customer GST Registration Type
  1. GST registered- Composition
Tax Codes All non-zero IGST tax codes, i.e.
IGST - 0.25% 3% 5% 18% 28%

 

4.A.1  Import of goods

This section pertains to purchases. Values will be picked up from transactions where all the following conditions are true. Remember Sec 3.1.d where only services purchased from suppliers with SEZ and Overseas registration types were included. This section pertains to goods.

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
  4. Debit Note/Supplier Credit
Products and Services
  1. Transactions contain items of the type Inventory and Non-Inventory which have not been enabled for Reverse Charge.
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks 
Supplier GST Registration Type
  1. SEZ
  2. Overseas
Tax Codes All IGST tax codes, i.e.
IGST - Exempt IGST (0%) 0% IGST (0%) 0.25% 3% 5% 18% 28%

4.A.2 Import of services

This section pertains to purchases. Values will be picked up from transactions where all the following conditions are true. This section contains a subset of transactions picked up in Sec 3.1.d.

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
  4. Debit Note/Supplier Credit
Products and Services
  1. Transactions contain items of the type Service (regardless of Reverse Charge being enabled).
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. SEZ
  2. Overseas
Tax Codes All IGST tax codes, i.e.
IGST - Exempt IGST (0%) 0% IGST (0%) 0.25% 3% 5% 18% 28%

 

4.A.3 Inward supplies liable to reverse charge (other than 1 & 2 above)

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
  4. Debit Note/Supplier Credit
Products and Services
  1. Transactions contain items of the type Inventory, Non-Inventory, Service and have  Reverse Charge enabled.
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. GST Registered - Regular
  2. GST Unregistered
Tax Codes All GST & IGST tax codes, i.e.
GST - Exempt GST (0%) 0% GST (0%) 0.25% 3% 5% 18% 28%
IGST - Exempt IGST (0%) 0% IGST (0%) 0.25% 3% 5% 18% 28%

 

4.A.5 All other ITC

This section pertains to purchases. Values will be picked up from transactions where all the following conditions are true.

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
  4. Debit Note/Supplier Credit
Products and Services
  1. Transactions contain items of the type Inventory, Non-Inventory, Service and do not have Reverse Charge enabled).
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. GST Registered - Regular
  2. GST Unregistered
Tax Codes All GST & IGST tax codes, i.e.
GST - Exempt GST (0%) 0% GST (0%) 0.25% 3% 5% 18% 28%
IGST - Exempt IGST (0%) 0% IGST (0%) 0.25% 3% 5% 18% 28%

 

5.a From a supplier under composition scheme, Exempt and Nil rated supply

This section pertains to purchases. Values will be picked up from transactions where all the following conditions are true.

Note - This section is a summation of transactions which meet the conditions laid out in either of the following tables.

Note - QuickBooks will use the tax rate type (e.g. 0% GST or 0% IGST) to determine if the transaction is Interstate or Intrastate. Any errors in the entering the tax rate will cause an incorrect classification by QuickBooks.

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
  4. Debit Note/Supplier Credit (only if Exempt IGST (0%) and 0% IGST (0%) are used)
Products and Services
  1. Transactions contain items of the type Inventory, Non-Inventory, Service and do not have Reverse Charge enabled).
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. GST Registered - Regular
  2. GST Unregistered
  3. SEZ
  4. Overseas
Tax Codes All zero GST & IGST tax codes, i.e.
GST - Exempt GST (0%) 0% GST (0%)
IGST - Exempt IGST (0%) 0% IGST (0%)

OR

 

Transaction Type
  1. Bill (Purchase Bill)
  2. Cheque
  3. Expense
Products and Services
  1. Transactions contain items of the type Inventory, Non-Inventory, Service and do not have Reverse Charge enabled).
  2. Know more about enabling reverse charge in products and services. (How to enter transactions with reverse charge service tax in QuickBooks
Supplier GST Registration Type
  1. GST Registered - Composition
Tax Codes
  1. Out of Scope at the transaction level.

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