Why a B2CS row in GSTR-1 can be negative: returns that cross a month boundary, how they net against sales, and when a negative figure is a problem.
Small B2C credit notes are netted, not listed
A credit note against an ordinary consumer sale is not reported separately. It reduces the aggregate for its rate and place of supply in Table 7. This is standard, and it is why Table 7 rows can move down as well as up.
A June sale returned in July
The sale was declared in June. The return lands in July, where there is no matching sale to offset. Table 7 for that rate and state goes negative, and the liability for the month reduces by the same amount. This is correct, and the portal accepts it.
When to worry
A negative row with no return behind it is a different matter, and usually means a refund row was read as a sale at a negative price rather than as a credit note. fynxIQ names the returns behind every negative row so the two cases can be told apart at a glance.
Try it on your own figures with the free GSTR-1 from marketplace reports.
Which file to download, and from where: the list for each marketplace and the GST portal.
By Raunak Pathak, founder of fynxIQ, who files GST returns on it. Last updated 30 August 2026. This is general information about how GST returns work, not advice about your particular return.