Under GST Laws, the correct and timely filing of returns is of utmost importance because of two reasons:-
- Under GST Laws, a taxpayer is required to estimate his tax liability on “self-assessment” basis and deposit the tax amount along with/before the filing of such return. The return therefore constitutes a kind of worksheet/supporting documents for the tax authorities that can be relied upon as the basis on which the tax has been computed by taxpayer.
- Under GST regime, filing of returns not only determines the tax liability of the person filing the same, but it also has a huge bearing on determination of tax liability of other person with whom the former has entered into taxable activities.
Under GST, there is no provision to revise the GST Return. Assesse needs to be file GST Returns with utmost care.
Types of GST Returns and their Due Date
|Return Forms||Details of Return||Liability to File||Due Date of Filing Return|
|GSTR-1||Details of Outward Supplies
|Registered Person||10th of subsequent month|
|GSTR-2||Details of Inward Supplies
|Registered Person||15th of subsequent month|
|GSTR-3||Finalisation of Inward and outward supplies and payment of tax
|Registered Person||20th of subsequent month|
|GSTR-4||Outward supplies and tax thereon in case of composition scheme
|Taxable person opting for Composition Levy||18th of the month succeeding the quarter end|
|GSTR-5||Outward supplies, imports, tax paid, input tax availed and remaining stock by Non Resident taxpayer||Non- Resident taxpayer||20th of the month succeeding the tax period or within 7 days after expiry of registration, whichever is earlier
|GSTR-6||Details of ITC and their distribution
|Input Service Distributor||13th of subsequent month
|GSTR-7||Details of tax deduction made during the month
|Tax Deductor||10th of subsequent month
|GSTR-8||Details of supplies and tax collected
|E-Commerce Operator||10th of subsequent month
|STR-9||Annual return||Registered person other than an ISD, TDS/TCS Taxpayer, Casual Taxable Person and Non- resident Taxpayer
|31st December of the next Financial year
|GSTR-10||Final Return||Taxable Person whose registration has been surrendered or cancelled||Within 3 months of date of cancellation or date of cancellation order whichever is later.
The basic feature of the return mechanism in GST include electronic filing of returns, uploading of invoice level information and auto population of information relating to Input Tax Credit (ITC) from returns of supplier to that of recipient, invoice-level information matching and auto-reversal of ITC in case of mismatch. The returns mechanism is designed to assist the taxpayer to file returns and avail ITC.
Step wise Guide for Filing GST Return
| STEP-1: FILING GSTR-1
WHEN: 10th day of the subsequent month.
WHAT: Details of the outward supplies by the supplier of goods and services.
HOW: Upload the details directly through data entry at the common portal or upload the file containing details through offline Utility/Tool available at GST Portal (www.gst.gov.in) or by using third party applications/software.
KEEP IN MIND: Supplier would not be allowed to increase/decrease invoices on his own after 10th day of the month. However such modification may be allowed only on the basis of details uploaded by counter-party purchaser in GSTR-2 (in step 2 &3 below).
| STEP-2: AUTO- POPULATION OF GSTR-2A
WHEN: 11th to 15th day of the subsequent month.
WHAT: Details of the outward supplies made by the supplier (in GSTR-1 as in step-1) are made available to recipient for modifications/ acceptance/deletion/addition.
HOW: Make note of any discrepancies in the details furnished by the supplier of goods and services which needs any correction on the basis of valid invoice.
KEEP IN MIND: While taxpayer would be able to see the invoices uploaded by their supplier, they can only make changes (if any) and finalise their GSTR- 2 only after the last date of filing GSTR- 1.
|STEP-3: FINALISATION AND FILING OF GSTR-2
WHEN: After 10th day but on/before 15th day of the subsequent month.
WHAT: The auto populated invoices (in step-2) will be accepted/rejected/modified by the purchasing taxpayer in GSTR-2.
HOW: Upload the details directly through data entry at the common portal or upload the file containing details through offline Utility/Tool available at GST Portal or by using third party applications/software.
KEEP IN MIND: Purchasing taxpayer will also be able to add additional purchase invoice details in his GSTR-2 which may not be uploaded by their supplier, provided he is in possession of valid invoice and has actually received such goods and service. Taxpayer is advised to indicate the eligibility/ partial eligibility/non eligibility of ITC as the case may be.
| STEP- 4: RECONCILIATION OF OUTWARD AND INWARD SUPPLIES
WHEN: 15th to 17th Day of subsequent month.
WHAT: Modifications/ Deletions/ Additions made by the recipient (in GSTR- 2A as in step-3) are made available to the supplier for acceptance/rejection.
HOW: The purchasing taxpayer may either reconcile or prompt the supplier to accept the inward supply as uploaded by them (in step-2 and 3). The supplier than can accept/reject the modification made by them.
KEEP IN MIND: Where a purchasing taxpayer has added an invoice and the corresponding supplying taxpayer accepts the addition, it will amend his GSTR-1 accordingly.
| STEP- 5: FINALISATION OF GSTR-3
WHEN: By 20th day of the subsequent month.
WHAT: Reconciliation of inward supplies and outward supplies and payment of taxes.
HOW: The GST Common Portal would auto-generate Part-A of GSTR-3B for the taxpayer and will show the amount that will be credited/debited to the ITC ledger of the taxpayer.
KEEP IN MIND: Taxpayer is supposed to fill in details of ITC he intends to utilise towards payment of taxes. Any balance amount will have to be paid in cash (Step-6). The return would also reflect any other charges payable such as interest and penalty (if any).
| STEP- 6: PAYMENT OF TAXES AND SUBMISSION OF GSTR-3
WHEN: By 20th day of the subsequent month.
WHAT: The balance amount of taxes after utilisation of ITC (as in step-5) is to be paid in cash.
HOW: Payment of the remaining liability has to be paid by challan, which can be raised from the GST portal. One can choose to pay the challan using internet banking or visit their respective bank branch along with copy of such challan. The taxpayer will submit the return after the tax has been paid.
KEEP IN MIND: Any payment made through challan gets credited to electronic cash ledger and does not automatically get offset against any liability. Payment of taxes has to be done by debiting the electronic cash ledger and the taxpayer can opt to debit the electronic cash ledger while submitting the return. Taxpayer also has the option to make the payments in advance and credit his electronic cash ledger accordingly.
| STEP- 7: GST ANNUAL RETURN (GSTR 9)
WHEN: 31st December of the next Financial year
WHAT: Annual Return for availing Input Tax Credit.
HOW: Details regarding the supplies made and received during the year under different tax heads i.e. CGST, SGST and IGST. It consolidates the information furnished in the monthly/quarterly returns during the year. There are various types of GSTR-9 viz GSTR 9 (Regular taxpayers), GSTR 9A (Composition Scheme), GSTR 9B (E-Commerce Operators), GSTR 9C (Assesses whose turnover exceeds Rs. 2 Crores)
KEEP IN MIND: Details of Outward and Inward supplies declared during the Financial year and Input Tax Credit.
By: Mr. Sandeep Bisht (Co-Founder, Filing Samadhan)