Dear expert, Please clarify me the following, How to show Sales Returns & Purchase returns in GSTR3B & GSTR1 respectively? and if Sales returns of previous months are greater than sales of current month, how to show negative sales in GSTR3B & GSTR1 respectively? and if purchase returns are made, under which column of GSTR3B & GSTR1, ITC should be reversed? I've asked above queries, in many GST meetings,but didnt received a convincing reply, i am expecting from you an expert opinion with detailed reply please?

Reply— 

As negative figures is not allowed to be mentioned in GSTR-3B, If Sales return is in excess of sales in a particular month, the taxpayer can file NIL GSTR-3B for particular month (because there is no GST liability), and in next month's GSTR-3B adjust the remaining amount of Sales return from future tax liability.

Or taxpayer can show the amount of sales return in inward supplies in GSTR-3B.

In case of purchase return, ITC should be reversed in any other column.