GSTN issues Advisory on Reporting Supplies to Unregistered Dealers in GSTR 1/GSTR 5

The Goods and Services Tax Network (GSTN) issued an advisory aimed at clarifying the reporting requirements for supplies made to unregistered dealers in GSTR-1 and GSTR-5 returns. The advisory is crucial for ensuring accurate compliance and avoiding potential errors during the GST reconciliation process. It provides detailed instructions on how to correctly report these transactions, which are typically categorized under B2C supplies. The advisory also highlights the consequences of misreporting, which could lead to discrepancies during audits, resulting in fines or penalties.