cancel
Showing results for 
Search instead for 
Did you mean: 
VH18
Level 1

How to book bank charges in QB to claim GST input credit and appear in GSTR3B

I am facing a problem related to transactions with respect to booking and claiming Input GST in QB for bank charges. After performing the below entries, the GSTR 3B doesn't capture this in A.ITC Available - 5. All other ITC. 

Bank Charges Dr 500
Input GST Dr 1281.05
Bank  CR 1781.05
 
Can anyone help me with what is it that I am doing wrong and why the transactions are not being captured in the GSTR reports. Quick help would be appreciated. Thanks,
 

 

1 Comment
ChristieAnn
QuickBooks Team

How to book bank charges in QB to claim GST input credit and appear in GSTR3B

Hi there, VH18.

 

Thank you for posting here and welcome to QuickBooks Community.

 

How you entered those entries you've mentioned might be the reason they are not being captured in the GSTR3B reports. You can use the Expense feature to record the bank charge. Please follow the steps below.

 

  1. Click the + New button and select Expense under Vendors.
  2. Under the Payment account, select your bank.
  3. In the Payment date field, enter the date.
  4. From the Category column, choose Bank Charges expense account from the drop-down list.
  5. Enter the amount in the Amount column.
  6. Fill in the other nessesary fields.
  7. Hit Save and close.

 

For further details, you can refer to this article: Enter, edit, or delete expenses in QuickBooks Online. This also provides steps on how you can edit or delete an expense.

 

Then, please check the information listed below to see which transactions will show up in the GSTR3B report.

 

  • To be compliant, QuickBooks requires the use of items listed in the Products and Services list, appropriately aligned with HSN, SAC codes in all transaction types involving sales and purchases, i.e. Invoice, Sales Receipt (Cash Memo), Bill, Expense, Cheque.
    • This means that you must use forms and not journal entries to enter your sales and purchase transactions which are subject to any GST rate including Exempt and Nil.
    • On purchase forms, you must enter purchase line items in the Item details section only. Account details should not be used. Transactions, especially on the purchases side, will not reflect in the GSTR 3B if the Account details section has been used to record them in QuickBooks.
    • The GSTR 3B in QuickBooks will now pull transactions that have been entered using Account details.
  • All forms of the type Sales Receipt (Cash Memo) must have a Customer selected. The GSTR 3B will not pull Sales Receipt (Cash Memo) forms without a a Customer.
  • All forms of the type Expense must have a Supplier selected. The GSTR 3B will not pull Expense forms saved without a Supplier.

 

For additional information, you can click this article: The GSTR3B (GSTR 3B) report in QuickBooks.

 

Please check also this article to see information on how QuickBooks pulls in your transactions into the GSTR4 report: The GSTR4 report in QuickBooks.

 

Please know that you're always welcome to post if you have any other concerns. Wishing you and your business continued success.