GST Refund Update: GSTN introduces Auto-Validation auto-validation of invoices with GSTR-2B

The GST department has increased the workload on GST refund filers as changes have been introduced to the refund process, due to which taxpayers will now need to go through additional compliance requirements while making refund claims.

One of the major changes is that Annexure B for refunds must now be uploaded in a JSON file format using the official utilities. The action is aimed towards making the system more automated and reducing manual mistakes in refund processing.

The new function of auto-validation of invoices with GSTR-2B has also been introduced in the GST (Goods and Services Tax) system. Meaning, a now detailed, filled-in refund application will now be automatically matched with the taxpayer’s GSTR-2B data. This will reduce overall mistakes and ensure accuracy.

Annexure B has to be filled in line with GST Circular No. 135/05/2020.

However, the utility seeks additional fields beyond the Annexure-B format referred in Circular 135. Some of the new mandatory fields include:

• Type of inward supply
• GSTR-2B period reference
• Blocked Input Tax Credit under Section 17(5)
• Ineligible Input Tax Credit details

Overall, the update is intended to strengthen transparency and improve system-based verification, but it also means taxpayers must be more careful while preparing refund documentation.

This information is based of Twitter post of CA Abhas Halakhandi. Here is the link of the post: https://x.com/AbhasHalakhandi/status/2052305697120063977?s=20