Question

Mr. A is in trading business and filing his Gst Returns regularly. In month of April 2018 he came to know that he did not show his rental income in his Gst returns. He started earning rent from the month of Jan 2018. He is filing qty returns. He deposited his due tax on rental income( Jan to March 2018) in the month of April 2018 .Can he amend his GSTR-1 for the quarter ended March 2018 to include his rental income or he is to show the same in his next Gstr-1. What would be the interest liability.

Answer

If the rental income is not shown in GSTR-3B as well as GSTR-1, then there is no other option to revise the earlier returns. You can record the same in succeeding month GSTR-3B on net basis with the details of current return (circular No. 26/26/2018-GST dated 29.11.2017).

However you are liable to pay interest @ 18% (only in cash) charged from the due date you are liable to file return for rental income till the date return is filed.

Also record the details of invoices in succeeding month GSTR-1 with same invoice no. and date (jan to march) etc.so that the recipient of renting service can be able to claim ITC in the respective month.

Please note that succeeding month means any month comes after the month in which return is filed, it does not mean next month only. But not later than furnishing of annual return or September 2018 return whichever is earlier.(As per proviso to section 39 of CGST Act). (Reply dt. 09/06/2018)