As we all know that compliances under GST are more complex than ever before. Each month, company needs to file at-least three returns monthly. Hence, the mandatory requirements for GST return filings are as follows:
You need to prepare a complete details of all purchases made during the month which is to be filed by 15th of the month.
You need to prepare a complete details of all sales made during the month which is to be filed by 20th of the following month.
Information Collection- A LegalVista GST Expert will collect the necessary information and documents for preparation of GST return for your business.
GST Return Preparation- Based on the documents and information collected, a LegalVista GST expert will prepare your GST return and send for your approval.
GST Return Filing- Once the GST return is verified and approved by you, our GST expert will file your GST return.
For GST return filing, there is no formal set of documents required. The GST returns shall be completely dependent upon the invoices created under GST. Hence, creation of invoices shall serve as base for filing the GST return in India.Further, to file the GST return, you must follow a standard guidelines:
Prepare each and every invoice as per the GST law.
Further, each product shall be categorized as per the HSN code.
Try to maintain invoices details in a format given in the GST software.
Once invoices are uploaded, you can easily file the monthly returns.
Every entity registered under GST will have to file a GST Return. A Nil return has to be filed even if no purchase-sales activity have been carried out during the return period.
- GSTR – 1 – Outward return (Details about your sales/ Supplies made during month) 10th of next month Registered person except few
- GSTR – 2 – Inward return (Details about your purchases made during month) 15th of next month Registered person except few
- GSTR – 3 – Month return (for cumulative records of inward and outward made during month) 20th of next month Registered person except few
- GSTR – 4 – A return by Composite dealer (a person availing such service with supplies < Rs. 50 lakh 18th of next quarter Composite dealer only
- GSTR – 5 – Monthly return by Non resident taxable person 13th of next month Registered Non Resident
- GSTR – 6 – Monthly return by input service distributor 13th of next month Input Service Distributor
- GSTR – 7 – Person who are required to deduct TDS 10th of next month Prescribed Persons
- GSTR – 8 – E-commerce market places who are required to deduct TDS 18th of next quarter Registered persons except few
- GSTR – 9 – Annual Return 31st of next year Every Registered persons
Depending on the type of registration and transactions different periods have been specified. Monthly Return has to be filed by Regular taxpayers, Foreign Non-Residents, Input Service Distributor, Tax Deductors and E-commerce Operators whereas Composition taxpayers will have to file a quarterly return. There is also an additional Annual GST Return apart from this.
If the return is not filed within the due date then the taxpayer is penalized with a late fee of Rs. 100 per day up to a maximum of Rs. 5000/-.
GST monthly return filing is a little complex task as matching and reversal task are also involved under GST return filing procedure. If there is any discrepancy in filing between seller and buyer, then the same has to be reconciled. Let us understand the full procedure:
# Step 1 :The person shall file the outward supply return in GSTR 1 before tenth of the month succeeding the said tax period.
# Step 2 :Details of outward supplies furnished by the supplier shall be made available to the recipient in FORM GSTR 2A.
# Step 3 :Recipient shall verify, validate, modify the details relating to outward supplies and may also file details of credit or debit notes.
# Step 4 :After verification, recipient shall furnish,the details of inward supplies of taxable goods and /or services in FORM GSTR – 2.
# Step 5 :The details of inward supplies by the recipient shall be made available in FORM GSTR-1A and supplier may either accept or reject the modifications.
# Step 6 :If the details provided remained unmatched, then the person shall rectify such error or omission in the tax period during which such error is noticed.
If any taxable person after furnishing a return discovers any omission or incorrect particulars therein, he may revised the return in the month in which such omission or incorrect particulars are noticed.
However, the two categories of people are not allowed to revise the returns which are as follows:
- Person required to deduct TDS
- Registered non taxable person
Revised return shall not be allowed after the due date for furnishing of return for the month of September or second quarter, as the case may be, following the end of the financial year, or the actual date of furnishing of relevant annual return, whichever is earlier.
For E-commerce – Flipkart, Amazon
* Every e-commerce players need to register under GST, mandatory irrespective of the turnover of the company.
* Further, every registered e-commerce venture shall collect at source on the payment of it’s sellers and deposit the same to the government.
* Accept loan from from its directors.
* Can issue shares at premium and raise funding at high value even from public.
For Sellers on Flipkart / Amazon
* Sellers on e-commerce are treated as a normal taxable person however, they need to register with GSTN mandatory.
* They need to file three monthly returns in GSTR 1, 2 & 3.Further, any TCS collected by the e-commerce platform shall be given due credit to the seller.