Changes in GSTR-1 / GSTR-1A : Phase-III Changes to Table-12 

The Goods and Services Tax Network (GSTN) has announced the changes in GSTR-1 – Phase-III implementation of structural changes to Table-12 of GSTR-1 and GSTR-1A, effective from the April 2025 tax period onwards. These modifications aim to streamline HSN-wise reporting and enhance data accuracy. Here’s what taxpayers need to know:

Very Important:- GSTN has updated the advisory. This change will take effect from GSTR-1 of May 2025. Please read our new blog for more details!

Key Changes in GSTR-1 / GSTR-1A : Table-12 (Phase-III)

1. Bifurcation of Table-12

  • Table-12 is now split into two separate tables:
    • B2B Supplies: For business-to-business transactions.
    • B2C Supplies: For business-to-consumer transactions.
  • Rationale: Enables clearer segregation and analysis of supply patterns.

2. Mandatory HSN Selection from the Dropdown

  • Manual HSN entry is disabled. Taxpayers must:
    • Select the correct HSN code from a pre-populated dropdown menu.
    • Ensure alignment with invoices to avoid mismatches.
  • Impact: Reduces errors and improves GST data quality.

Action Points for Taxpayers

✔ Review HSN Codes: Verify your product/services’ HSN codes in advance.
✔ Update Accounting Systems: Ensure compatibility with the new dropdown-based entry.
✔ Refer to Past Advisories: For detailed guidance, check the GSTN Advisory dated January 22, 2025.

Why This Matters

  • Compliance Efficiency: Standardized HSN reporting minimizes reconciliation issues.
  • Fraud Prevention: Disabling manual entries curbs misclassification.
  • Seamless Transition: Phase-wise rollout ensures gradual adaptation.

How TaxPower GST is handling Changes in GSTR-1 / GSTR-1A : Table-12 (Phase-III)

TaxPowerGST is proactively preparing for the upcoming Phase-III changes in Table-12 of GSTR-1 and GSTR-1A, ensuring seamless adaptation for tax professionals and accountants. Leveraging its experience in successfully addressing past GST amendments, the software enhances its features to align with the latest compliance requirements. With a focus on accuracy and efficiency, it is refining automated HSN code selection, supply bifurcation, and real-time validation mechanisms to simplify tax filings. By continuously evolving and integrating solutions for regulatory updates, TaxPowerGST reaffirms its commitment to making GST compliance hassle-free while equipping users with robust tools to navigate changing tax landscapes effortlessly.

Try TaxPowerGST today with a free one-month trial and experience firsthand how it simplifies GST filing and compliance!

Team Taxpower

Blog Ref: GSTN Portal Advisory

Disclaimer:-

This blog is intended for informational purposes only and should not be considered legal or financial advice. Readers are encouraged to independently verify all applicable GST laws, regulations, CBIC advisories, GSTN guidelines, and E-Way Bill rules before making decisions. The author and publisher are not responsible for any actions taken based on the information provided here.