The Goods and Services Tax has eased the process of indirect taxation considerably since its introduction in India in 2017. However, despite the relative simplification in regards to the previous tax regime, it’s still in the nascent stages. Hence, there is still some degree of blurriness concerning its functioning among the business community in India.
A business, in due course of its operations, has to deal with an array of GST forms to comply with its many guidelines and ensure they reap its full benefits. One of these is the GSTR 2A Form. Understanding what it is, its significance, and how it fits in the GST ecosystem is, thus, imperative.
GSTR 2A means a purchase-related document that the GST portal provides to each business registered with it. The GSTR 2A has generated automatically when a business’s seller or counterparty uploads the GSTR 1 and 5 Forms. It details the purchases a company makes in a particular month, thereby noting all invoice details.
However, it is a read-only document, serving only to inform a business of its sellers’ invoice details. The concerned enterprise should verify this GST form 2A and rectify any discrepancy in it before filing their returns on the GST portal as GSTR 2.
The GST portal auto-populates GSTR 2A standing on information available from a business’s sellers or counterparties’ returns per the following forms –
It’s generated in these cases mentioned below –
Verification of GSTR 2A is necessary to file the GSTR 2 Form. However, in some cases, the seller might defer their filing of GSTR 1. In that case, the concerned business will need to populate the necessary details when filing their GST returns manually.
And to ensure consistency in information recording, the details submitted by a seller in GSTR 1 will reflect in such business’s GSTR 2A in the next month.
For instance, suppose one is filing their GST returns in August, and their seller uploads GSTR 1 of August in September. Thence, such businesses will need to fill in relevant information manually in GSTR 2 of August. And, such details as submitted by the seller will show in the GSTR 2A of September.
Since it is a read-only document that’s auto-populated based on other forms, a business does not need to file it. However, businesses need to accept it, reject it, modify it, or defer its acceptance if such an organisation finds any discrepancy in the invoice details that its seller submitted in GSTR 1.
Also, since it’s generated automatically, there’s no GSTR 2A due date in question. Nevertheless, if any information in that form requires modification, businesses shall do so in GSTR 2. And the due date for that is between the 11th and 15th of a month immediately following the month for which such GST return is filed.
In order to view this return form, individuals need to follow the steps mentioned below –
Step 1: Visit the official GST portal.
Step 2: Log in with the necessary credentials.
Step 3: Click on “Services” on the dashboard.
Step 4: Click on “Returns” and then “Returns Dashboard”.
Step 5: It will show the “File Returns” page, where one needs to fill the “Financial Year” and “Return Filing Period” and then click on Search.
Step 6: Following that, one needs to click on the “View” option under GSTR 2A.
Step 7: It will then show the GSTR 2A – Auto-drafted details page.
The concerned individual or organisation can view the featured information in this form by selecting relevant titles.
Individuals can also choose to download this document for future reference by selecting the pertinent option in Step 6.
A taxpayer needs to download the GSTR – 2A if the number of invoices is more than 500. You must have the GST offline tool installed in the system in order to use this file. Here are the steps to do so:
Step 1: Click on download on the GSTR – 2A block.
Step 2: Click on the ‘Generate JSON file to download’ button in order to generate data in the JSON or excel format. The generated JSON file needs to be opened in Returns Offline Tool, available on the GST portal.
Step 3: Click on the link that says – “Click here to download JSON-File1” once it appears.
GSTR 2A format seven headings, as per the government’s mandate. These are –
| GSTIN of Supplier | Invoice details | Rate | Taxable Value | Amount of Tax | Place of Supply (Name of State/UT) | |||||
| Number | Date | Value | Integrated tax | Central tax | State/UT tax | Cess | ||||
| Details of original document | Revised details of document or details of original Debit/Credit note | Rate | Taxable Value | Amount of tax | Place of Supply (Name of State/UT) | ||||||||
| GSTIN | No. | Date | GSTIN | No. | Date | Value | Integrated tax | Central tax | State/UT tax | Cess | |||
|
Criteria for Comparison |
GSTR 2A |
GSTR 2B |
|
Objective of Statement |
It is an auto-drafted statement that furnishes input tax credit information to every recipient of supplies, on the basis of the suppliers’ details including changes implemented later on. |
It is a constant auto-drafted statement that furnishes input tax credit information to every recipient of supplies, on the basis of the suppliers’ data for every tax period. |
|
Statement’s Characteristic |
The document is dynamic since it changes from day to day, as and when a supplier informs the documents. |
The document is static, as it is for one month, and can’t be changed on the basis of the actions of the supplier implemented later. |
|
When will ITC entries get transferred from sources? |
GSTR-1: Saved, filed, or submitted; GSTR-6: Submitted; GSTR-7 and GSTR-8: Filed |
GSTR-1, GSTR-5, or GSTR-6: Filed |
|
Maximum ITC entries visible on GST portal (without excel download) |
500 rows |
1000 rows |
|
Frequency of availability |
Monthly |
Monthly |
|
Advisory on ITC claims |
It does not consist of details on the action a registered buyer requires to undertake |
It consists of an advisory against every section on whether the Input Tax Credit is eligible/ineligible/reversal, for the taxpayer to undertake certain action as per his GSTR-3B |
GSTR 3B is a self-declared return summarising the ITC a business is eligible to receive. As per guidelines, taxpayers are required to carry out GSTR 2A reconciliation with this form. It is necessary to ensure a business is not evading any tax or receiving credit above what they are actually eligible for.
In case a taxpayer is found to claim excess ITC, they shall repay it with interest. Failing to comply can result in fines and other penalties.