Chinchwad Branch of WIR IRC of IC ICAI on 16/03/2019 Presented by - - PowerPoint PPT Presentation

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Chinchwad Branch of WIR IRC of IC ICAI on 16/03/2019 Presented by - - PowerPoint PPT Presentation

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GST Annual Return -9 for Pim impri- Chinchwad Branch of WIR IRC of IC ICAI on 16/03/2019 Presented by CA Nitin Bhuta E-mail: nitin.bhuta@gmail.com Mobile No 9820295319 CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 1 9820295319

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GST Annual Return -9 for Pim impri- Chinchwad Branch of WIR IRC of IC ICAI on 16/03/2019

Presented by CA Nitin Bhuta E-mail: nitin.bhuta@gmail.com Mobile No 9820295319

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 1

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Disclaimer

  • All views stated are my personal views they are not binding on

WIRC/ICAI. My personal views may be correct/incorrect as they are expressed based on my understanding of the subject.

  • All members/listeners are requested to go through tax law provisions
  • n their own and advise their clients accordingly as each situations is

peculiar in itself.

  • All Illustrations provided are imaginary and any resemblance to any

situations is purely co-incidental and without any intentions to disclose private and confidential information.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 2

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 3

GST Annual Return Process

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 4

Industry Laws Applicable Books of Accounts Financial Statements Statutory Compliances Scope

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Basic Fundamentals – GSTR 9 & GSTR 9C Books Registrati

  • n

Invoicing method Outward Supply Inward Supply Input Tax Credit GST Returns RCM Classificat ions GST Collection & Verificatio ns Value of Supply Place of Supply Time of Supply Refund

Manual Electronic

Normal Composition

Tax Invoices

Bill of Supply HSN SAC

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 5

Cash /Mercantile System of accounting Intra/Inter State Intra ( C +S ) Inter ( I )

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Documents to be kept ready for the filing of GSTR 9 Books of Accounts GSTR 3B GSTR 2A GSTR 1 GSTR 9 Final Financial statements Output and Inward Reconciliations Electronic Cash & Credit Ledger Audit Reports if any GST Registration Documents Classification of Goods and Services

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 6

For Each GSTN ? If Stock recor ds maint ained as per

  • ther

laws ?

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 7

Checklist of Documents to be verified ( Illustrative)

  • Registration documentation
  • Nature of Business activities – Goods or Services or Both
  • Outward Supplies – Normal (B2B & B2C ), Export, SEZ , DN CN etc
  • Inward Supplies – Regular – RCM
  • Electronic Cash Ledger & Electronic Credit Ledger
  • Verification of DN/CN
  • Agreements/Purchase order/Sales Orders/Estimates/Quotation etc
  • Books of accounts for each GSTN
  • HSN and SAC classification
  • Tax levies to be verified ( C or S or I or UTGST etc.)
  • GST Returns filed & verification of summaries– GSTR 1/ GSTR 3B/GSTR 2 only for July 2017.
  • GST challans with Cash Ledger
  • Financial Statements, TAR, ITR and any other audit reports.
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Basics of Annual Returns

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 8

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Basics of GST Annual Return 9

  • What do you mean by Annual Return under GST Act 2017?
  • What information needs to be reported in Annual Return?
  • Whether for 9 months viz. July 17 to March 2018? Or 15 months viz.

July 17 to Sep 18? Or 21 months viz.July 17 to Mar 2019

  • What is the purpose of Annual Return ?
  • Annual Return consists of only actual information filed by RTP. No

new information can be added, modified or revised in the AR.

  • Can such annual return be amended or modified or revised ?

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 9

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Basics of GST Annual Return 9

  • Transactions pertaining to previous FY but declared upto September of

Current FY would be reported in Annual Return ( such as amendments, Input Tax Credit availed , ITC reversed etc.

  • No Tax, Interest , Late Fee or Penalty can be paid while filing the Annual

Return

  • New Requirements to bifurcate the Total ITC availed on Inputs , Capital

Goods and Input Services in Table 6 of GSTR 9

  • RTP in between switching over from Composition scheme to normal

scheme would be required to file both GSTR 9A & GSTR 9.

  • RTP must have active GSTIN during the relevant financial year as a Normal

Tax Payer ( even it can be valid for one day in a Financial year)

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 10

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Basics of GST Annual Return 9

  • Annual Returns GSTR 9 applicable to whom?

It is applicable to all Registered Tax Dealers (RTP) and the same is required to be filed for each GSTIN Number

Including RTP having NIL liabilities

AR to be filed electronically only by every year by every RTP and not by GST Auditor

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 11

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Basics of GST Annual Return 9

  • Annual Returns GSTR 9 not applicable to whom?

AR is not applicable to following :- Input service Distributors E commerce Operators TDS deductors u/s 51 or 52 CTP NRCTP

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 12

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Annual Return Section 44(1) Rule 80 RTP Rule 80(1)

Composition Dealer Rule 80(1)

TCS Rule 80(2) Audit Turnover exceeds Rs.2 crores GSTR 9 GSTR 9A GSTR 9B GSTR 9 + GSTR 9C ISD, CTP , NRCTP , ISD ,TDS are excluded from the requirements of filing of AR.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 13

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Basics of GST Annual Return 9

  • What is due date for the filing of Annual Returns GSTR 9 ?

Due date of Filing of AR is 30.06.2019 as on today unless extended by the Government.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 14

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Basics of GST Annual Return 9

  • What are the implications if RTP don’t file Annual Returns GSTR 9 ?

If AR is not filed by Due date then there is late fee

  • f Rs.100 per day under CGST plus Rs.100 per

under SGST/UTGST subject to maximum of 0.5% ( .25%+.25% ) of Turnover in state/Union Territory as per section 44 plus General Penalty u/s 125 of GST Act 2017 of Rs.25000/-

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 15

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Basics of GST Annual Return 9

  • What would happen if RTP don’t file Annual Returns GSTR 9 ?

Notice in Form GSTR -3A would be issued by the GST department under Section 46 read with Rule 68 and RTP would be requested to file AR 9 within 15 days from the receipt of the notice. Such notice would be issued electronically.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 16

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Basics of GST Annual Return 9

  • If person has not filed GSTR -1 as well as GSTR 3B , can he still file

Annual Returns GSTR 9 ?

No , RTP would be required to file GSTR 1 & 3B first before he can file GSTR 9.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 17

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Basics of GST Annual Return 9

  • Is Annual Returns GSTR 9 to be filed before GSTR 9C – Audit Report?

It is recommended to file GSTR 9 first before filing GSTR 9C- Audit Report?

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 18

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Basics of GST Annual Return 9

  • Is it necessary to determine value of aggregate turnover even though

turnover is less than 2 crores in previous FY?

It is recommended to check and determine aggregate turnover as per section 2(6) of the Act. Why is it necessary?

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 19

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Basics of GST Annual Return 9

  • Section 2(6) defines “aggregate turnover” means the aggregate

value of all taxable supplies (excluding the value of inward supplies

  • n which tax is payable by a person on reverse charge basis),

exempt supplies, exports of goods or services or both and inter-State supplies of persons having the same Permanent Account Number, to be computed on all India basis but excludes central tax, State tax, Union territory tax, integrated tax and cess; The phrase “aggregate turnover” is widely used under the GST laws. Aggregate Turnover is an all-encompassing term covering all the supplies effected by a person having the same PAN.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 20

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Aggregate Turnover

  • It specifically excludes:

· Inward supplies effected by a person which are liable to tax under reverse charge mechanism; and · Various taxes under the GST law, Compensation cess.

  • The different kinds of supplies covered are:
  • (a) Taxable supplies;
  • (b) Exempt Supplies:
  • supplies that have a ‘NIL’ rate of tax;
  • supplies that are wholly exempted from SGST, UTGST, CGST, IGST or Cess;

and

  • supplies that are not taxable under the Act (alcoholic liquor for human

consumption and articles listed in section 9(2) and in schedule III);

  • (c) Export of goods or services or both, including zero-rated supplies.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 21

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Aggregate Turnover

  • Points to remember:-
  • Aggregate turnover is relevant to a person to determine:
  • Threshold limit to opt for composition scheme: Rs. 1 Crore in other

states/Rs.75 Lakhs in specified states in a financial year);

  • Threshold limit to obtain registration under the Act: 20 Lakhs (or 10 Lakhs

in case of supplies effected from Special Category States) in a financial year.

  • GST Audit Limit of Rs.2 crores as specified u/s 35(5).

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 22

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Aggregate Turnover

  • · Inter-State supplies between units of a person with the same PAN will

also form part of aggregate turnover.

  • · For an agent, the supplies made by him on behalf of all his principals

would have to be considered while analysing the threshold limits.

  • · For a job-worker, the following supplies effected on completion of job

work would not be included in his ‘aggregate turnover’:

  • · Goods returned to the principal
  • · Goods sent to another job worker on the instruction of the principal
  • · Goods directly supplied from the job worker’s premises (by the

principal): It would be included in the ‘aggregate turnover’ of the principal.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 23

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Aggregate Turnover

SR No Particulars Value ( Rs. ) 1 Taxable Turnover as per Financial Statements ( excluding Taxes ) B2B, B2C, Exports, SEZ , Net effect of CN/DN etc. xxxxxx.xx 2 Value of Exempt Supply , NIL Rated Supply and Non Taxable Supplies xxxxxx.xx 3 Branch Transfers ( excluding Taxes ) – such transaction would be nullified in the annual Financial statements xxxxxx.xx 4 Transactions between Related Parties ( excluding Taxes ) – Employer and Employee where value exceeds Rs.50 Lakhs xxxxxx.xx 5 Transactions between Principal and Agent ( excluding Taxes ) xxxxxx.xx 6 Levy of Cross Charges between HO & Branch and so on - such transaction would be nullified in the annual Financial statements xxxxxx.xx 7 Total Value of Aggregate Turnover ( Sum of 1 to 6 ) xxxxxx.xx

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 24

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 25

Points to Ponder Upon

If non corporate professional following cash system of accounting having

  • nly one GSTN number has received professional fees less than two crores

say 1.9 crores whereas as per GSTR 1 he has done billing of more than 2 crores say 2.5 crores in such case whether 9C Audit reporting is required to be done or not especially when section 35(5) refers to turnover as per audited financial statements? Professional can be engineer, architect, CA, CS or any self employed professionals assuming aggregate turnover and GSTR 1 are equal and there is no adjustment on account of valuation as well as employee compensation required. Technical guide of ICAI say turnover should be considered as per audited financial statements. Whether GST audit in 9C would trigger?

What to do

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Clause by Clause Analysis – Annual Return 9

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 26

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Annual Return 9 ( 6 Parts –19 Tables -460 Data fields) Part I Part II Part III Part IV Part V Part VI Basic Information Table 1-3 Liabilities ( Output + RCM) Input Tax Credits Tax Paid Details Circular 26 Effects Other Information Table 4-5 Table 6-8 Table 9 Table 10-13 Table 15-19

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 27

FY 1718 FY1819

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Part I – Basic Information- Table 1 & 3

“FORM GSTR-9 (See rule 80) Annual Return

  • Pt. I

Basic Details 1 Financial Year 2 GSTIN 3A Legal Name 3B Trade Name (if any)

  • Pt. I

1 2 3A 3B “FORM GSTR-9 (See rule 80) Annual Return Basic Details Financial Year GSTIN Legal Name Trade Name (if any)

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 28

Auto July 17 to March 18 to be submitted

  • nly even though FY 1718 would be

indicated here To be filed for each GSTN

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Part II – Liability ( Output + RCM )- Table 4 & 5

  • Pt. II

4 A B C D E F G H Zero rated supply (Export) on payment of tax (except supplies to SEZs) Supplies made to un-registered persons (B2C) Supplies made to registered persons (B2B) Details of Outward and inward supplies declared during the financial year (Amount in ₹ in all tables) Nature of Supplies Taxable Value Central Tax State Tax / UT Tax Details of advances, inward and outward supplies on which tax is payable as declared in returns filed during the financial year Integrated Tax Cess 1 2 3 4 5 6 Supply to SEZs on payment of tax Deemed Exports Advances on which tax has been paid but invoice has not been issued (not covered under (A) to (E) above) Inward supplies on which tax is to be paid on reverse charge basis Sub-total (A to G above)

  • - - - -

Table 5,7,9 & 10 Table 4A 4C

Table 6A Table 6C Table 6B Table 11A

Table 3.1 (d)

GSTR 1 GSTR 3B Advances received from Clients ( Balance Sheet Items )

Merchant Exporters

9(3)/5(3) 9(4)/5(4)

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 29

Presumptive system of Taxation under ITR ?

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Part II – Liability ( Output + RCM )- Table 4 & 5

4 I J K L M N Details of advances, inward and outward supplies on which tax is payable as declared in returns filed during the financial year Credit Notes issued in respect of transactions specified in (B) to (E) above (-) Debit Notes issued in respect of transactions specified in (B) to (E) above (+) Supplies / tax declared through Amendments (+) Supplies / tax reduced through Amendments (-) Sub-total (I to L above)

  • - - - -

Supplies and advances on which tax is to be paid (H + M) above

  • - - - -

Table 9B Table 9B

Table 9A, 9C Table 9A, 9C GSTR 1

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 30

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Part II – Liability ( Output + RCM )- Table 4 & 5

5 A B C D E F G H I J K L M N Sub-Total (H to K above)

  • - - -

Turnover on which tax is not to be paid (G + L above)

  • - - - -

Total Turnover (including advances) (4N + 5M - 4G above)

  • - - -

Debit Notes issued in respect of transactions specified in A to F above (+)

  • - - -

Supplies declared through Amendments (+)

  • - - -

Supplies reduced through Amendments (- )

  • - - -

Non-GST supply

  • Sub-total (A to F above)
  • - - - -

Credit Notes issued in respect of transactions specified in A to F above (-)

  • - - -

Supplies on which tax is to be paid by the recipient on reverse charge basis

  • - - - -

Exempted

  • Nil Rated
  • Details of Outward supplies on which tax is not payable as declared in returns filed during the financial year

Zero rated supply (Export) without payment of tax

  • Supply to SEZs without payment of tax
  • Table 6A

Table 6B Table 4B Table 8 Table 9B Table 9B

Table 9A,9C Table 9A, 9C GSTR 1

Total Outward Supplies including on which tax is not payable

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 31

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Part III – Input Tax Credits – Table 6 to 8- Source GSTR 3B

  • Pt. III

6 A F G H I Input Tax credit received from ISD Amount of ITC reclaimed (other than B above) under the provisions of the Act Sub-total (B to H above)

  • - -

Inputs Capital Goods Import of services (excluding inward supplies from SEZs) D Inward supplies received from registered persons liable to reverse charge (other than B above) on which tax is paid and ITC availed Inputs Capital Goods Input Services E Import of goods (including supplies from SEZs) C Inward supplies received from unregistered persons liable to reverse charge (other than B above) on which tax is paid & ITC availed Inputs Capital Goods Input Services Details of ITC availed as declared in returns filed during the financial year Total amount of input tax credit availed through FORM GSTR-3B (sum total of Table 4A of FORM GSTR-3B) B Inward supplies (other than imports and inward supplies liable to reverse charge but includes services received from SEZs) Inputs Capital Goods Input Services Details of ITC as declared in returns filed during the financial year Description Type Central Tax State Tax / Integrated Tax Cess UT Tax 1 2 3 4 5 6

Table 4(A)(5)

Table 4(A)(3) Table 4(A)(3) Table 4(A)(1) Table 4(A)(2)

GSTR 3B

Table 4(A)(4)

RTP needs to work on reclassifications

ITC to be bifurcated between Eligible and Ineligible Credits

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 32

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  • Pt. III

J K L M N O Total ITC availed (I + N above)

  • - -

Transition Credit through TRAN-I (including revisions if any) Transition Credit through TRAN-II Any other ITC availed but not specified above

  • - - -

Sub-total (K to M above)

  • - -

Difference (I - A above)

  • - -

Details of ITC as declared in returns filed during the financial year Description Type Central Tax State Tax / Integrated Tax Cess UT Tax 1 2 3 4 5 6

Part III – Input Tax Credits – Table 6 to 8- Source GSTR 3B TRAN I TRAN II ITC 01 – ITC 02 Section 18(1) Sale Demerger Transfer of Business etc

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 33

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Part III – Input Tax Credits – Table 6 to 8- Source GSTR 3B

7 A B C D E F G H I J Other reversals (pl. specify) Total ITC Reversed (A to H above)

  • - - -

Net ITC Available for Utilization (6O - 7I)

  • - -

As per Rule 43 As per section 17(5) Reversal of TRAN-I credit Reversal of TRAN-II credit Details of ITC Reversed and Ineligible ITC as declared in returns filed during the financial year As per Rule 37 As per Rule 39 As per Rule 42

Table 4(B) 4(D) ITC 03

Table 4(B)

Composition to Regular Ineligible Credit Reversed – EC SHEC & KKC Ineligible credit Reversed – unsold stock ITC

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 34

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 35

Points to Ponder Upon

  • 1. Invoices unpaid after 180 days – Domestic as well as International Transactions – only on year

end outstanding or in respect of each invoices ?

  • 2. Invoices are not raised pertaining to Cross charge between related charges? If one RTP has

accounted while filing GSTR 1 as well as and other RTP have not accounted the same in their GSTR 3B? 3. Merchant Trade (Out and Out sale from say Japan to UK) is exempt from GST. What if India based Logistics Support Service Provider (Freight Forwarder) is providing Ocean Freight services from Japan to UK. To provide this services he may avail services of Freight Forwarder situated say in Japan. Further he will receive his consideration in foreign currency and will also pay to foreign freight forwarder in foreign currency. Section 13(9) of IGST Act reads as under (9) The place of supply of services of transportation

  • f goods, other than by way of mail or courier, shall be the place of destination of such goods.

What to do

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 36

Points to Ponder Upon

  • 4. In case of FOB Import from China or Ex works import of Goods from china, Indian importer typically employs

services of Indian freight forwarder. Such Indian Freight Forwarder typically connects with Chinese freight forwarder for Import of Goods (from Factory of Chinese manufacturer in case of Ex works import and from port

  • f china in case of FOB Import). Chinese forwarder pays directly to shipping line and Indian forwarders pays to

Chinese forwarder in forex. Indian forwarder charge 5% GST on Indian importer on ocean freight and 18% GST

  • n other charges.

Issue for consideration: Whether Indian Forwarder is required to pay GST on RCM basis on such freight forwarding charges paid to Chinese forwarder as import of services? Section 13(9) of IGST Act reads as under (9) The place of supply of services of transportation of goods, other than by way of mail or courier, shall be the place of destination of such goods.

  • 5. Hotel accommodation charges paid in the Foreign Currency and reported in the Financial statements in

Directors Reports as well as Notes to accounts whether such payouts would trigger GST liability under RCM u/s 9(3) or 5(3) in case of Domestic RTP?

  • 6. ITC availed and utilized on advances paid ?

What to do?

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 37

Points to Ponder Upon

  • 7. MNC India is the subsidiary of MNC overseas whose business is scattered all over the world. MNC

India has transactions with all the entities of MNC overseas. MNC India CA is providing services to MNC overseas entities in respect of various tax laws compliances to be done in India considering POEM, BC , PE etc. As per the provisions of FEMA, MNC India CA is required to raise his invoices on MNC overseas Entities but as per the terms of the arrangement MNC India CA should not raise any invoices on MNC Overseas Entities what fees he is charging to MNC India which includes services provided to MNC Overseas Entities.

  • Q. Will such non invoicing permitted under GST law to MNC India CA ? Is it not the violation of

FEMA when his fees raised to MNI India for services rendered to MNC Overseas Entities especially when there is loss foreign exchange for the RBI ? What should be done in such scenario?

  • 8. ITC availed on Imports………….supplier not paid…………will it trigger Rule 37 reverseals?

What to do?

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 38

Points to Ponder Upon

  • 7. MNC India is the subsidiary of MNC overseas whose business is scattered all over the world. MNC

India has transactions with all the entities of MNC overseas. MNC India CA is providing services to MNC overseas entities in respect of various tax laws compliances to be done in India considering POEM, BC , PE etc. As per the provisions of FEMA, MNC India CA is required to raise his invoices on MNC overseas Entities but as per the terms of the arrangement MNC India CA should not raise any invoices on MNC Overseas Entities what fees he is charging to MNC India which includes services provided to MNC Overseas Entities.

  • Q. Will such non invoicing permitted under GST law to MNC India CA ? Is it not the violation of

FEMA when his fees raised to MNI India for services rendered to MNC Overseas Entities especially when there is loss foreign exchange for the RBI ? What should be done in such scenario?

  • 8. ITC availed on Imports………….supplier not paid…………will it trigger Rule 37 reverseals?

What to do?

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Part III – Input Tax Credits – Table 6 to 8- Source GSTR 3B

8 A B C D E F G H I J K ITC available but not availed on import of goods (Equal to I) Total ITC to be lapsed in current financial year (E + F + J) ITC available but ineligible (out of D) IGST paid on import of goods (including supplies from SEZ) IGST credit availed on import of goods (as per 6(E) above) Difference (G-H) ITC as per sum total of 6(B) and 6(H) above ITC on inward supplies (other than imports and inward supplies liable to reverse charge but includes services received from SEZs) received during 2017-18 but availed during April to September, 2018 Difference [A-(B+C)] ITC available but not availed (out of D) Other ITC related information ITC as per GSTR-2A (Table 3 & 5 thereof)

Auto Auto Table 4(A)(5) Need to populate only IF ITC as per GSTR 2A is more than ITC as per GSTR 3B Auto Auto

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 39

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Part IV – Tax Paid – Table 9- Source GSTR 3B

  • Pt. IV
  • Other
  • Cess
  • -
  • Details of tax paid as declared in returns filed during the financial year

4 5 6 7 Integrated Tax

  • - -
  • 1

2 3 9 Description Tax Payable Paid through cash Paid through ITC Central Tax State Tax / UT Tax Integrated Tax Cess

  • Interest
  • -

Central Tax

  • - -

Penalty

  • -

State/UT Tax

  • -

Late fee

  • Table 6.1-

GSTR 3B

OTL- Rs.20 Lakhs ITC – Rs.15 Lakhs Bal – Rs.5 Lakhs Paid late by 10 days Interest paid on 5 Lakhs ? Or Interest payable on 20 Lakhs

How do we report in AR?

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 40

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Part V – Circular 26 Effects - Table 10 – 14 – FY 1819 i.e. 1.4.2018 to 30.09.2018

  • Pt. V

10 11 12 13 14 ITC availed for the previous financial year Differential tax paid on account of declaration in 10 & 11 above Description Payable Paid 1 2 3 Supplies / tax reduced through Amendments (-) (net of credit notes) Reversal of ITC availed during previous financial year Supplies / tax declared through Amendments (+) (net of debit notes) Integrated Tax Central Tax State/UT Tax Cess Interest Particulars of the transactions for the previous FY declared in returns of April to September of current FY or upto date of filing of annual return of previous FY whichever is earlier Description Taxable Value Central Tax State Tax / UT Tax Integrated Tax Cess 1 2 3 4 5 6

Table 9A 9B 9C Table 9A 9B 9C

Table 4(B) Table 4(A)

GSTR 1

GSTR 3B

Increase in OTL is permitted beyond due date whereas reduction in OTL is not permitted beyond due dates DN and CN can be issued by the Supplier

  • nly.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 41

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  • Pt. VI

15

A B C D E F G Total demands pending out

  • f E above

Total Refund Pending Total demand of taxes Total taxes paid in respect of E above Total Refund claimed Total Refund sanctioned Total Refund Rejected

Other Information Particulars of Demands and Refunds

Details Central Tax State Tax / UT Tax Integrated Tax Cess Interest Penalty Late Fee / Others 1 2 3 4 5

Part VI – Other Information – Table 15 -19 ( FY 1718 )

  • Only GST demand

to be included

  • SCN

not to be reported under this tables

  • Appeals

made values to be reported in this sections.

  • Refund under LUT
  • r Refund without

LUT ? ITC claim on Inputs/Inputs Services and/or CG

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 42

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Part VI – Other Information – Table 15 -19 ( FY 1718 )

16 A B C Supplies received from Composition taxpayers Deemed supply under Section 143 Goods sent on approval basis but not returned Information on supplies received from composition taxpayers, deemed supply under section 143 and goods sent on approval basis Details Taxable Value Central Tax State Tax / UT Tax Integrated Tax Cess 1 2 3 4 5 6

Table 5 GSTR 3B Information provided in Income Tax Return where audit is not applicable under Income Tax Act 1961. Goods not received within 6 months

Job work supplies – Goods & CG CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 43

Closing Stock Bifurcation ?

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Part VI – Other Information – Table 15 -19 ( FY 1718 )

17 HSN Code 1 18 HSN Code 1 19 A B Description Payable Paid 1 2 3 HSN Wise Summary of Inward supplies UQC Total Quantity Taxable Value Rate of Tax Central Tax State Tax / UT Tax Integrated Tax Cess Central Tax State Tax 2 3 4 5 6 7 8 9 Late fee payable and paid HSN Wise Summary of outward supplies UQC Total Quantity Taxable Value Rate of Tax Central Tax State Tax / UT Tax Integrated Tax Cess 2 3 4 5 6 7 8 9

GSTR 1- Table 12 Big Challenge – Less 1.5 Cr – no HSN 1.5 Cr to 5 Cr – 2 digits More than 5 Cr -4 Digits Applicable if AR is filed beyond due dates Changes in Rate Structures in between the dates from Nov 2017 from 28% to 18% , 18% to 12% and 12% to 5%

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 44

Stock details reported in TAR & FS ? Stock records not maintained in FS/TAR ?

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Verifications I hereby solemnly verify and declare that the information given herein above is true and correct to the best of my knowledge and belief and nothing has been concealed there from and in case of any reduction in output tax liability the benefit thereof has been/will be passed on to the recipient of supply. Place Signature of Authorised Signatory Date Designation/Status Information highlighted in yellow is not right and absolute wrong considering the principles of natural justice and Rules of Law of the Country. Information stating passing of benefits arising out of GST implementation is relevant from anti profiteering clause perspective.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 45

Admissibility under evidence law? If anti profiteering exercise not done ?

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 46

Some issues to Ponder Upon

  • 1. If RTP has paid GST on my outward supply for FY 1718 but the

same is not reported in GSTR 1 as well as GSTR 3B is any remedy available?

  • 2. If RTP has raised invoices in FY 1718 but his advisor or

accountant has filed his GST invoices with different Invoice Numbers in FY 1819 and RTP has filed its sept 18 return as well as Filed its ITR return? Is any remedy available for corrections?

  • 3. ITC on advance claimed ? - silent/reverse? Interest on reversal
  • 4. Stock details – TAR /Corporate FS/ITR ?

What can be done?

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 47

GSTR 9 – Online Download from GSTN Portal from 06.03.19

Login to GSTN Portal Navigate through Services Select Returns Select Annual Returns Offline Online Download GSTR 9 Summary Download GSTR 1 Summary Download GSTR 3B Summary Preview Download GSTR 9 Compute Late Fees Not Avail able

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 48

GSTR 9 – Online Download from GSTN Portal

  • NIL GSTR can be filed if you have
  • Not made any outward supply ( commonly known as sale ) AND
  • Not received any goods and/or services ( commonly known as Purchase ) AND
  • No other liability to Report AND
  • Not claimed any credit ( ITC) And
  • Not claimed any Refund AND
  • Not received any order creating demand AND ( SCN – not be considered)
  • There is no late fee to be paid etc.
  • Please note that such option would be auto reflected on GSTN Portal but if select it

to be No then again same option won’t be available under any circumstances.

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 49

GSTR 9 – Online Download from GSTN Portal

  • Download GSTR 9 Summary
  • Download GSTR 1 Summary
  • Download GSTR 3B Summary
  • Computation of Late Fees
  • Preview of GSTR 9
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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 50

Download GSTR 9 Summary (System Drafted Annual Return for Normal Taxpayer)

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 52

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 53

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 54

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 55

Download GSTR 1 Summary (Details of Outward Supplies of Goods or Services) (System Generated summary For Reference only)

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 56

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 57

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 58

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 59

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 60

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 61

Download GSTR 3B Summary (System Generated summary For Reference only)

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 63

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 64

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 65

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 66

Preview GSTR 9 Summary (Annual Return)

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 70

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CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 74

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Conclusions in Annual Returns

  • This being the first year, please ensure that all workings papers in the form of documentation are kept on

record so that in future they are available to substantiate your basis authenticating the compilation of annual returns.

  • Please understand that Sovereign has all data available at their disposal using the techniques of data mining,

Artificial Intelligence, Virtual and Mixed Technological data base to verify and match the data.

  • All BU would be requested to explain substantiate and share their internal documents in future. So make sure

you have everything maintained in physical as well as digital form to avoid any kind of probable litigation issues.

  • Withdrawals and amendment of Annual Return filed won’t be allowed or permitted due to block chain

methodology followed by the GSTN Platform.

  • If BU is unable to explain with the documentation , chances are that looking at the trend followed, such

discrepancies might be result into issue of SCN and probable litigations which may disrupt ease of doing business in India.

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 75

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Thank You for Patient Hearing

CA Nitin Bhuta E-mail: nitin.bhuta@gmail.com Mobile No 9820295319

CA Nitin Bhuta E-mail : nitin.bhuta@gmail.com Mobile No 9820295319 76

SURROUND YOURSELF WITH PEOPLE WHO TALK ABOUT VISION AND IDEAS NOT PEOPLE