RETURN PROCESS 1 PURPOSE OF FILING RETURNS Mode for transfer of - - PowerPoint PPT Presentation

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HELPING CLIENTS KEEP MORE OF WHAT THEY EARN

GOODS AND SERVICES TAX RETURN PROCESS

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PURPOSE OF FILING RETURNS

• Mode for transfer of information to tax administration;
• Compliance verification program of tax administration;
• Finalization of the tax liabilities of the taxpayer within stipulated period of limitation;
• To declare tax liability for a given period;
• Providing necessary inputs for taking policy decision;
• Management of audit and anti-evasion programs of tax administration.

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ATTRIBUTES OF RETURNS

• The tax liability is self assessed by the tax payer.
• All returns have to be filed electronically through common portal, either directly or

from a Facilitation Centre, notified by the Board or Commissioner..

• Common Returns under Central GST, State GST and Integrated GST.
• Separate Returns have to be filed against each Registration.
• No concept of Revised Return. However any error or omission may be corrected in

the Return filed for later tax period.

• Non filing of Return for a continuous period of six months by registered taxable

person and three consecutive tax periods by person paying tax under composition scheme will lead to cancellation of Registration.

• Filing of Return without payment of tax will not be considered as a valid Return.

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FORMS TO BE FILED BY TAXPAYERS

Registered person Forms Number Description Time Limit

Regular registered taxable person GSTR-1 GSTR-2 GSTR-3 GSTR-9 Details of outward supplies Details of inward supplies Monthly Return Annual Return 10th of succeeding month 15th of succeeding month 20th of succeeding month 31st December following the financial year Casual Taxable person GSTR-1 GSTR-2 GSTR-3 Details of outward supplies Details of inward supplies Monthly Return 10th of succeeding month 15th of succeeding month 20th of succeeding month Input Service Distributor GSTR-6 Monthly Return 13th of succeeding month Non resident Taxable Person GSTR-5 Monthly Return 20th of succeeding month

• r,

7 days from end of validity period Taxpayer under composition scheme GSTR-4 GSTR-9A Quarterly Return Annual Return 18th of succeeding quarter 31st December following the financial year Deductor of tax at source GSTR-7 Monthly Return 10th of succeeding month Person having UIN GSTR-11 Details of inward supplies 28th of the month following the month for which statement is filed

GSTR-1

• To be filed by supplier by 10th of month following the tax period
• The details provided therein relates to goods/services supplied at invoice level

GSTR-2A

• It is auto generated from details provided in GSTR-1 by supplier
• The details are available to recipient of supply after date of filing GSTR-1 i.e. 11th day of month

GSTR-2

• Recipient verifies, validates, amends, deletes or make addition to details provided in GSTR-2A
• Recipient files details of inward supply with modification and addition in GSTR-2 by 15th of month following the tax

period

GSTR-1A

• Modifications made in the details as provided in GSTR-1 by the recipient are communicated to the Supplier of

goods/services in GSTR-1A

GSTR-1A

• Modifications as intimated in GSTR-1A are either accepted or rejected by the supplier by 17th of month following the

tax period

• GSTR-1 is updated accordingly

GSTR-3

• Supplier and Recipient files monthly Return on the basis of GSTR-1 & GSTR-2 providing therein the details of outward

and inward supplies effected during the tax period, credit availed, tax payable, etc.

• Such Return is to be filed by 20th of the month following the tax period

PROCESS OF MATCHING SUPPLY DETAILS FOR CREDIT AVAILMENT

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EVENTS IN CHRONOLOGICAL ORDER

Date Form Event 10th of succeeding month GSTR-1 Details of outward supplies 13th of succeeding month GSTR-6 Details by Input Service Distributor 15th of succeeding month GSTR-2 Details of inward supplies 17th of succeeding month

• Confirmation of outward supply by

the recipient 20th of succeeding month GSTR-3 Monthly Return & discharge of tax liability 31st December following the financial year GSTR-9 Annual Return

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MATCHING OF CLAIM OF INPUT TAX CREDIT

Grant of provisional credit on the basis of return filed in GSTR-3 Details of availed credit matched with: Corresponding details in supplier return Additional duty of customs Duplication of claims of input tax credit Is details matching Does duplication exist Communicated to recipient in Form GST ITC-1 A B Final Input Tax Credit

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MATCHING OF CLAIM OF INPUT TAX CREDIT

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Accepted and communicated to recipient A B Discrepancy communicated to recipient and supplier Supplier rectified discrepancy Supplier not rectified discrepancy Added to output tax liability of recipient in FORM GSTR-3 & interest levied Whether supplier subsequently communicated invoice details C Added to output tax liability Final Input Tax Credit Final Input Tax Credit

MATCHING OF CLAIM OF INPUT TAX CREDIT

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C Output tax liability is reduced and interest paid is refunded Final Input Tax Credit in FORM GST ITC-1

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RETURN BY COMPOSITION SUPPLIER

• Every registered taxable person paying tax under composition scheme shall be

required to file quarterly return in Form GSTR-4 electronically.

• Return shall be filed after correcting or deleting the details contained in Form

GSTR-4A generated on the basis of details of outward supplies provided in Form GSTR 1.

• Liability towards tax, interest, penalty, fees or any other amount payable under the

Act shall be discharged by debiting the electronic cash ledger.

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RETURN BY NON-RESIDENT TAXABLE PERSON

• Every registered non-resident taxable person shall furnish a monthly Return in

Form GSTR-5 electronically.

• Return shall be filed within twenty days after the end of a tax period or within

seven days after the last day of the validity period of registration, whichever is earlier.

• Any amount payable under the Act shall be paid before or at the time of filing

Return.

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RETURN BY INPUT SERVICE DISTRIBUTOR

• Every Input Service Distributor shall be required to file return in Form GSTR-6

electronically through the Common Portal.

• Return shall be filed after correcting or deleting the details contained in Form

GSTR-6A generated on the basis of details of outward supplies provided in Form GSTR 1.

• This return form would capture the following information:
• 1. Details of inward supply pertaining to the tax period separately for goods and

services on which the input tax credit is being claimed. This will be auto populated

• n the basis of GSTR-1 filed by the Counterparty Supplier of the taxpayer. The

same may be modified i.e. added or deleted by the Taxpayer while filing the ISD return.

• 2. Details of the Invoices along with the GSTIN of the receiver of the credit i.e.

to whom the ISD is distributing credit.

• 3. There will be separate ISD Ledger in the return that will detail the Opening

Balance of ITC (to be auto- populated on the basis of previous return), credit for ITC services received, debit for ITC reversal and ITC distributed and Closing Balance.

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RETURN BY PERSON REQUIRED TO DEDUCT TAX AT SOURCE

• Every registered taxable person required to deduct tax at source shall furnish

return in Form GSTR-7 electronically through the common portal.

• The details furnished in the Return shall be communicated to each of the supplier

in Part C of Form GSTR-2A.

• The certificate of tax so deducted shall be made available electronically to the

deductee on the common portal in Form GSTR-7A on the basis of return filed by tax deductor.

• This return would capture the following information:
• 1. Details of GSTIN of the Supplier along with the invoices against which the Tax

has been deducted. This will also contain the details of tax deducted against each major head i.e. CGST, SGST and IGST.

• 2. Details of other payments – Interest, Penalties, Fee, etc. (This will be auto

populated from the Debit entry in Cash ledger)

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MISCELLANEOUS PROVISIONS

• First Return

Every registered taxable person shall declare the details of outward supplies in relation to period between the date on which he became liable to registration and the date of grant of registration in the first Return filed by him.

• Annual Return

Every registered taxable person shall file Annual Return on or before 31st December following the end of the financial year in Form GSTR-9. Provided that a person paying tax under Section 9 shall furnish the annual return in Form GSTR- 9A. Taxable persons who get their accounts audited under section 53(4) are required to electronically file annual return along with a copy of the audited accounts as well as a reconciliation statement, reconciling value of supplies declared in the return furnished for the year in Form GSTR-9B along with the audited annual financial statement and such other prescribed. Input Service distributor, a person paying tax under section 46 (TDS) or 56 (TCS), casual taxable person and Non-Resident taxable person are not required to furnish annual return.

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MISCELLANEOUS PROVISIONS

• Final Return

Every registered taxable person who applies for cancellation of registration shall furnish a final return within three months of the date of cancellation or date of cancellation order. Such Return has to be filed in Form GSTR-10.

• Notice to Return defaulters

Notice shall be issued in prescribed manner, requiring to file the periodic returns (Section 34), Annual Return (Section 39) or Final Return (Section 40) within 15 days in Form GSTR-3A in such manner as may be prescribed.

• Late Fees

Any registered taxable person who fails to furnish any return by the due date shall be liable to pay late fee of ₹ 100 for every day during which such failure continues subject to a maximum of ₹ 5000. In case there is default in filing annual return, fee shall be levied at a quarter percent of his turnover in the State.

• Tax Return Preparers

Tax Return Preparer as approved by the appropriate Government may be authorized by a registered taxable person to furnish the details of outward and inward supplies, various returns and such other tasks as may be prescribed.

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RETURNS FOR TAX RETURN PREPARERS

SI No. Return Name Description 1 GST-TRP-1 Application for enrolment as Tax return preparer 2 GST-TRP-2 Enrolment certificate as Tax return preparer 3 GST-TRP-3 Show cause notice to Tax return preparer 4 GST-TRP-4 Order of cancelling enrolment as Tax return preparer 5 GST-TRP-5 List of Tax return preparers 6 GST-TRP-6 Consent of taxable person to Tax return preparer 7 GST-TRP-7 Withdrawal of authorization to Tax return preparer

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RETURNS UNDER GST REGIME

SI No. Return Name Return For Time for filing return 1 GSTR-1 Outward Supply 10th Day of succeeding month 2 GSTR-1A Details of modified outward supplies communicated to supplier

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GSTR-2 Inward Supply 15th Day of succeeding month 4 GSTR-2A Details of inward supplies communicated to recipient

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GSTR-3 Monthly Return for both inward & outward Supply 20th Day of succeeding month 6 GSTR-3A Notice of non furnishing of Return

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GSTR-4 Quarterly Return for compounding taxable person 18th Day of succeeding quarter

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RETURNS UNDER GST REGIME

SI No. Return Name Return For Time for filing return 8 GSTR-4A Details of inward supply communicated to recipient registered under composition scheme.

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GSTR-5 Return for Non-Resident foreign taxable person 20th Day of succeeding month or within 7 days after the end of validity of registration, whichever is earlier 10 GSTR-6 Return for Input Service Distributor (ISD) 13th Day of succeeding month 11 GSTR-6A Details of inward supplies communicated to ISD recipient 12 GSTR-7 Return For TDS 10th Day of succeeding month 13 GSTR-7A TDS Certificate

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GSTR-8 Supplies effected through e-commerce

• perator on which tax is collected at source

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RETURNS UNDER GST REGIME

SI No. Return Name Return For Time for filing return 15 GSTR-9 Annual return 31st December of next Financial Year. 16 GSTR-9A Simplified Annual Return by Compounding taxable persons 31st December of next Financial Year. 17 GSTR-9B Reconciliation Statement

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GSTR-10 Final return 3 months of the date of cancellation of registration or date of cancellation order, whichever is later 19 GSTR-11 Inward supplies by a person having UIN 28th Day of succeeding month 20 GST ITC-1 Communication in relation to input tax credit claim

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