Effective January 2024, the Goods and Service Tax Network (GSTN) shook things up for e-commerce operators (ECOs) with the introduction of Tables 14 & 15 in GSTR-1.

India’s e-commerce sector is booming, with more and more businesses selling online. To keep up with this growth and ensure smooth GST compliance, the GSTN implemented the introduction of two new changes, added table 14 and 15 in GSTR-1 in January 2024. These tables are designed to simplify e-commerce transaction reporting, eliminate discrepancies, and make compliance easier for both suppliers and e-commerce operators (ECOs).

Let’s dive directly into the new changes and see how these new tables can benefit your business.

GSTR 1 Table 14 – Supplies Made Through E-Commerce Operators

• In this table, the suppliers need to report the transactions/ supplies through the E-commerce operator. These are aggregated values for sec 52 and Sec 9(5) of CGST Act.
• For Table 14 (a) – The supplier is required to report in this section a summary of supplies made through ECO, categorized by ECO-GSTIN, on which ECO is obligated to collect Tax at Source (TCS). Any liabilities already reported in tables 4 to 10 of GSTR-1 must also be included. It’s important to note that no automatic population of taxable value or tax liabilities from this table to GSTR-3B will occur. Any amendments should be recorded in 14A(a).
• For Table 14 (b) – In this section, the supplier is required to provide a summary of the supplies made through ECO for which ECO is responsible for paying tax under section 9(5). It’s important to note that the tax on these supplies should be settled by ECO, not the supplier. The reported values should be net of any credit/debit notes. These values will be automatically filled in Table 3.1.1(ii) of GSTR-3B. Any necessary amendments should be reported in 14A(b).

GSTR 1 Table 15 – Supplies under Section 9(5) of the CGST Act

• In this table, the E-commerce operator needs to report supplies on which the e-commerce operator needs to pay tax under sec 9(5) of the CGST Act.
• E-commerce operators (ECOs) have distinct reporting obligations based on the nature of transactions. For supplies involving both registered suppliers and registered recipients (B2B), ECOs are required to furnish detailed information at the invoice level. On the other hand, transactions between registered suppliers and unregistered recipients (B2C) necessitate supplier-level details, including the point of supply (POS) and rate-wise information.
• In a separate category, ECOs must report document-level details for supplies from unregistered suppliers to registered recipients (URP2B). Finally, for supplies from unregistered suppliers to unregistered recipients (URP2C), ECOs are tasked with reporting point of supply and rate-wise details. All values reported will be auto-populated in Table 3.1.1(i) of the corresponding GSTR-3B, with associated liabilities to be settled by ECOs in GSTR-3B in cash. Amendments are to be reported in Table 15A(I) & 15A(II).

Introducing Clarity with GSTR-1 Tables 14 & 15

The introduction of Tables 14 and 15 in GSTR-1 in January 2024 has ushered in a welcome change. These dedicated tables address Section 9(5) supplies distinctly, eliminating the need for manual entry and ensuring accurate auto-population of Table 3.1.1 of GSTR 3B. This not only enhances reporting accuracy but also fosters greater transparency and simplifies compliance obligations for all stakeholders.
In addition to GSTR 3B auto computation, there will be new sections introduced in GSTR 2B as well.

Introduction of new table ECO-Documents in GSTR-2B

1. Taxpayers are also being provided a facility to pass input tax credit (ITC) to the registered taxpayers who are receiving the supplies u/s 9(5) through ECO. Such ITC will be available to the registered recipient in the newly introduced section in GSTR-2B. A new table “ECO – Documents” is being added under all other ITC sections in GSTR-2B. In this table, the registered recipient can view the document details of the supplies received through the e-commerce operator on which the e-commerce operator is liable to pay tax under section 9(5) of the Act.
2. The values will be auto-populated from the Registered Supplier and Registered Recipient (B2B) and Unregistered Supplier and Registered Recipient (URP2B) section of table 15 to this new ECO – Documents table of GSTR-2B.

Conclusion

The introduction of Tables 14 and 15 in GSTR-1 marks a significant step towards simplifying e-commerce GST compliance for both E-comm operators and suppliers. By embracing these changes, updating systems, and ensuring staff training, businesses can reap the benefits of streamlined reporting, enhanced transparency, and reduced compliance burdens. As the e-commerce landscape evolves, staying informed about future GST developments will be crucial for continued success. Remember, embracing proactive adaptation is key to thriving in the ever-changing world of GST.