Guide to GSTR-2


    GSTR-2 is a crucial GST Return form that needs to be filed by registered taxpayers in India as part of the Goods and Services Tax (GST) system. It contains details of all the inward supplies of goods and services received by the taxpayer during a particular tax period. Filing GSTR-2 is important to claim input tax credit and reconcile the details of inward supplies with those of the suppliers. However, the process of filing GSTR-2 can be complex and time-consuming, especially for first-time filers.

    Every GST-registered person is obliged to submit GSTR-2, a purchase return. The GSTR 2 purchase return requires taxpayers to provide information pertinent to their inward supplies. This guide to GSTR-2 aims to provide a comprehensive overview of the form and help taxpayers understand the process of filing it correctly and on time. 

    What is GSTR-2?

    GSTR-2 is a monthly tax return that includes all of your purchases for the previous month. The data from registered vendors’ sales returns (GSTR-1) will be available on the GSTN portal as GSTR-2A for use in your GSTR-2 when you make purchases from them. You can review this data before filing your return, amend it as needed, and add any information that wasn’t automatically filled in. The seller will be informed and allowed to modify their return using a GSTR-1A form if you change the information on your GSTR-2A and file it as a GSTR-2.

    When to File GSTR-2?

    Before the 15th of the next month, the specifics of the purchases made during a given month must be filed. For instance, if you need to submit a GSTR2 form for March, you must do it by April 15th. Similarly, the GSTR2 for May must be completed by the 15th, and so on.

    Who is Eligible to File GSTR-2?

    Every person or organisation registered for GST must submit a GSTR 2 for each purchase they make. There are a few exceptions to this rule, though. The following entities are exempt from submitting a GSTR 2 return:

    You must maintain a thorough record of all your transactions, including those involving non-GST supply, to submit a GSTR 2 return. You will also be required to provide your GSTIN and validate your identification during the return filing process using an OTP on your registered number or the Aadhaar-based sign-in option.

    Pre-Requisites for Filing GSTR-2

    GSTR-2 return filing process also requires an individual to meet a specific set of requirements and have a particular set of documents on their person, just like it does in the case of any other registration process involving the government. The following state the requirements:

    Procedure to File GSTR-2

    We will not cover this topic in detail here. To learn how to do this, check out our detailed guide on how to file GSTR-2.

    What is included in GSTR-2 form?

    GSTR-2 form requires thirteen important fields to be filled. These are discussed below:

    1. The taxpayer’s name
    2. All GST-registered firms are given a unique 15-digit Goods and Services Taxpayer Identification Number (GSTIN) based on their PANs.
    3. Information about the inbound supply other than those that are subject to a reverse charge
    4. Information regarding the purchased items that are subject to a reverse charge for inward supplies
    5. Capital goods and inputs received on a bill of entry from SEZ entities or abroad.
    6. Amendments to information about inbound supply that was included in filings for earlier taxation periods
    7. Supplies obtained from taxable composition individuals, exempt or zero-rated GST supplies received, and non-GST supplies.
    8. ITC, or input tax credit, obtained from an authorised input service distributor
    9. Information on any TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) received, such as from an online shopping site.
    10. A combined statement showing all advances made and adjusted for supplier receipts
    11. Information on any cancellation or reclaiming of input tax credits
    12. Information regarding any production tax additions or decreases in case of mismatch or other situations
    13. HSN’s concise list of commodities purchased for internal supplies. HSN refers to the “Harmonized System of Nomenclature” in this context, a widely used method for the systematic classification of goods.

    What is the Late Fee and Penalty for GSTR-2?

     Individuals will incur a late fee each day they postpone the filing procedure if they fail to submit their GSTR-2 by the deadline or for a specific month. It works because the registered taxpayer will receive a fee of Rs. 100 per day, with Rs. 5,000 maximum.


    Filing GSTR-2 is an important requirement under the GST regime for claiming input tax credit and reconciling the details of inward supplies with those of the suppliers. While the process can be complex, with the help of this guide, taxpayers can navigate it smoothly and ensure timely and accurate filing. It is crucial to file GSTR-2 on time to avoid penalties and to maintain compliance with GST regulations. By following the guidelines and best practices outlined in this guide, taxpayers can file GSTR-2 with confidence and ease.

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