Filing GST returns just got a little more interesting. GSTN has now rolled out Phase III of their efforts to improve HSN-wise summary reporting. Under the new rule, all businesses will have to enter HSN summary details of B2B Supplies and B2C supplies separately in Table 12 of GSTR-1/1A.
GSTN will implement Phase-III of enhancing HSN reporting from April 2025 tax period onwards. This is aimed at reducing errors, misclassification and bringing more clarity to GST filings. Businesses must adapt their return process to align with the new change of reporting HSN data.
What is the HSN change in GSTR-1?
The new change will reflect in Table 12 of GSTR-1. In Table 12 of GSTR-1/1A, businesses are required to report the HSN details of outward and other relevant supplies during the return period. Now, from April’25 return onwards, businesses are required to bifurcate the HSN summary into “B2B Supplies” and “B2C Supplies”. In simple words, businesses need to enter the HSN summary details of B2B Supplies and B2C Supplies separately under the respective tabs.
What is the effective date of HSN implementation?
Businesses will have to comply with the new HSN changes from April 2025 tax period onwards. This implies that the GSTR-1 return of April’25 to be filed in May’25, should be filed with separate break-up of B2B and B2C HSN details.
What should businesses do to prepare?
Businesses must now prepare to report their HSN summaries with a B2C and B2B breakup. Keep your accounting teams updated on all changes and prepare for the April return filing with a separate list of B2C and B2B supplies.
Sounds like a lot of work? It doesn’t have to be with TallyPrime. The latest release of TallyPrime is enhanced with the HSN changes as per advisory issued by the GSTN. By simply upgrading to the latest release you can automatically generate the HSN summary for B2B and B2C supplies in GSTR-1. This ensures seamless return filing and compliance with the latest GST changes.
How to enable and generate B2B and B2C HSN summary in TallyPrime?
The latest release of TallyPrime of is now enhanced to support the HSN summary changes in line with the advisory issued by the GSTIN. You can enable B2B and B2C HSN summary changes in few simple steps mentioned below:
- Press F11 for Company Features
- Enable ‘Set/Alter company GST rate and other details’
- Press Ctrl + I for ‘More details’ and select ‘Show More’
- Select ‘Separate B2B and B2C HSN Summary applicable from’
- Mention the applicable date as 1-4-2025
- Next, Open the GSTR-1 and Select ‘Yes’ for GST update
Now, HSN Summary shows the B2B and B2C and you can drill down for more details. Once you export the report in JSON or upload it online directly from TallyPrime, the HSN breakup will reflect automatically. Upgrade to the latest release of TallyPrime to comply with the new change.
