I. Introduction
B2B and B2C Breakup for HSN Summary Report in GSTR-1: A Comprehensive Guide (2025 Update)
According to the most recent GSTN Advisory, which was released on May 1st, 2025, the modifications pertaining to HSN reporting in Table-12 of GSTR-1 will now take effect for the May 2025 tax year (before, they applied for the April 2025 tax period).
II. Phase III Requirement:
• You must submit HSN-wise summaries that clearly distinguish between B2B and B2C transactions.
In TallyPrime 6.0, this feature is already present. You can upgrade to the most recent version right now if you haven't already.
III. Understanding B2B and B2C Supplies
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Definition of B2B Supplies: Transactions where both the supplier and recipient are registered under GST.
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Definition of B2C Supplies: Transactions where the supplier is registered, but the recipient is not registered under GST.
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Importance of Accurate Classification: Emphasize the need for correctly distinguishing between B2B and B2C supplies to ensure proper tax reporting and compliance.
IV. To enable this change, follow these steps
Select 'Yes' under F11 > Set/Alter GST Rate and Other Details.
• Select Show More under More Details.
• Type 1-5-2025 into the "Separate B2B and B2C HSN Summary applicable from" field.
WATCH this quick guide to set it up.
