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16/12/2017

How to Generate and Rectify GSTR 3B in Tally Part - 1

How to Generate and Rectify GSTR 3B in Tally

Today, We are going to explain you how you can easily generate and rectify GSTR 3B in Tally.

It is very easy and simple once you have passed the relevant accounting vouchers or entries related to GST in Tally.

Because once you have passed the GST entries in Tally, everything else will be done by Tally.

For this post, I have created 3 different GST entries in Tally. They are:

  1. Intra-State Sales - 12% - Amount - ₹60,000, Input CGST - ₹3,600, Input SGST - ₹3,600
  2. Inter-State Sales - 18% - Amount - ₹25,000, Input IGST - ₹4,500
  3. Intra-State Purchases - 18% - Amount - ₹20,000, Input CGST - ₹1,800, Input SGST - ₹1,800
I have chosen 3 entries which are totally different so you will have an idea on how GSTR 3B is generated in an actual real environment in a company.

In real world, there can interstate as well as intrastate transactions and therefore I have included both of them here for explaining GSTR 3B in Tally.

Before we go ahead, let me explain you in short and simple way, what is GSTR 3B.

What is GSTR 3B?

GSTR 3B is a simple return which you have to file every month from July 2017 to March 2018.

GSTR 1 is for outward supplies while GSTR 2 is for inward supplies. But GSTR 3B includes both inward and outward supplies in a summary form.

Although, an important point to note here is that GSTR 3B only includes total figures of the invoices and not every single invoice in detail.

This makes GSTR 3B kind of a summary return.

Now, that you have an idea of what GSTR 3B is, let’s go into Tally and see how you can generate GSTR 3B in Tally.

And, after that, I’ll also explain you how you can rectify it, if there are any mistakes.

How to Generate GSTR 3B in Tally?

As I said in the beginning of this post that GSTR 3B is automatically generated in Tally. We have to take care of passing the entries and we can leave the rest of the work for Tally to complete. That’s why I love Tally so much. :)

Let me guide you how you can generate or see GSTR 3B in Tally.

  1. From Gateway of Tally, go to Display.
  2. In the Display menu, select Statutory Reports.
  3. Now, select GST.
  4. Finally select GSTR3B from the menu or just press 3 from your keyboard which is the shortcut option for selecting GSTR 3B.


Congratulations! You are finally in GSTR 3B screen in Tally which will look something like the below image if you have passed the transactions which I have listed at the beginning of the post.


In the Returns Summary part which is at the top of the screen, you can see total number of vouchers for the period, included in returns, not relevant for returns and incomplete or mismatch in information.

As you can see in the picture, there are 3 total number of vouchers included in the returns and those vouchers are the 3 vouchers which I have described above.

Now, if we move forward to the second part below the Returns Summary, it shows 4 vital figures in total. They are in simple words:

  1. Sales and Purchases liable to reverse charge
  2. Details of interstate supplies made to unregistered persons, composite taxable persons and UIN holders
  3. Eligible Input Tax Credit
  4. Value of Exempt, Nil rated (0% GST) and Non-GST Purchases.

You have all of your values mostly in these 4 columns.
This is GSTR 3B in Tally. It is complete right now and you can check easily print it.

But before that let me ask you one question.

What if there is some mistake in the return? Well, Tally flags it automatically and you will have the option to rectify it.

Here is how you can do it.

How to Rectify GSTR 3B in Tally

I have passed all the entries in a correct way and therefore there are no mismatches or incomplete information.

I will change the tax amount of 2nd entry from ₹4,500 to ₹4,000 to see how Tally flags it and how you can rectify it.

Please note that the tax amount in the correct entry is ₹4,500 which is 18% of ₹25,000 and I have changed it to ₹4,000 as in the image below.

Let’s once again go to GSTR 3B by following the steps above. Now, you will see that 1 voucher is flagged for Incomplete/Mismatch in information.


And on the same time, it is also removed from the GSTR 3B because of the error. This is how Tally will save you from uploading returns with errors.

So, now let’s rectify it. Here are the steps to rectify GSTR 3B in Tally.

  1. In GSTR 3B, go to Incomplete/Mismatch in information (to be resolved row)
  2. Select the error due to which the mismatch occurred. In our case, it is due to tax amount modification in the voucher. I intentionally changed the amount for this example.
  3. In there, you will see all the details of the voucher. We want to change the tax amount because it is wrong.

  1. It clearly says that there is a difference of ₹500 in the automatically calculated amount  and the transaction amount and we need to rectify it.
  2. Press Enter and you will see a space where you have to enter the correct amount.


  1. Enter ₹4,500 and press Enter once again.

Congratulations! You have successfully rectified GSTR 3B in Tally. If you again go in the GSTR 3B, you will see the same return as we saw before I intentionally change the amount.

Now you can easily print it for your records or this return. Here is how you can print it. It’s damn easy.

How to Print GSTR 3B in Tally

There is a special option in GSTR 3B return in Tally to print it. It is located in the right hand side green coloured bar.

  1. Just click on it or press CTRL+P which is the shortcut for printing GSTR 3B return in Tally.
  2. Now, press Enter and the return will be printed in Word Format.



Conclusion

Finally I want to conclude this topic in which I have explained you about how you can generate GSTR 3B, rectify it and print it in Tally. It is very less time consuming to prepare GST returns in Tally because most of the work is already done when you create accounting entries in Tally.

I have tried to keep this post as simple, easy and as practical as possible so you can understand it better.

Still if you have any doubts, feel free to comment down below and I will try to solve them.

Author Bio

He is Rishit Shah - a CA Final student and a big fan of Tally.  He is the guest author of This post. 

He explain Tally at TallySchool.com in a very simple and easy manner.

His articles have been published on Tally Solutions (the company behind Tally), TaxGuru, CAclubIndia, Chartered Club and TallyKnowledge to name a few.