Any regular business needs to file 26 GST returns in a year. There are 9 kinds of GST returns –
GSTR 1, GSTR 2, GSTR 3, GSTR 4, GSTR 5, GSTR 6, GSTR 7, GSTR 8 and GSTR 9. Let’s see what GST return filing and important aspects associated with it.
What is GST Return filing?
A GST return filing is a document that mentions all details for a specific time relating to GST invoices, payments, and receipts. A taxpayer is liable to declare all transactions related to the business’ revenue based on which the authorities will calculate the amount of tax payable by the company.
All Business owners can file their GST online on the official website provided by GSTN. While filing GST returns, all the registered dealers will require the following details for the specific period.
- Total sales
- Total purchases
- Output GST (GST paid by customers.)
- ITC or Input Tax Credit (GST paid by the business for purchases).
Once the GST return has been filed, a registered dealer can track the GST Return filing status online and comply with the necessary requirements accordingly.
Eligibility for GST return filing:
- Any daily business must file three monthly returns and one annual return under the GST norms.
- GST should also be filed in the form of nil-returns (meaning no returns) by entities that do not make any sales or transactions within a given period (year).
- The best part of this system is to enter details of one month’s return manually-GSTR-1. The other two returns-GSTR 2 & 3 will be auto-populated by you and your vendors deriving details from GSTR-1 filed. Compounding taxpayers are required to file returns every three months and normal taxpayers such as overseas non-residents, casual taxpayers, and Input Service Providers (ISD) are required to file monthly returns.
GST return date:
A chartered accountant appointed by you will file the GST reconciliation document.
| Forms | Application |
| GSTR -1 | Outward Supplies Return |
| GSTR -2 | Inward Supplies Return |
| GSTR -3 | Monthly GST Return |
| GSTR -4 | For Composition Supplier GST Quarterly Return |
| GSTR -5 | Non-Resident Taxable Persons |
| GSTR -6 | Input Service Distributors’ Monthly Return |
| GSTR -7 | Monthly Return for tax Deductors |
| GSTR -8 | E-commerce Operators’ Monthly Return |
| GSTR -9 | Annual GST Returns |
Penalty for late filing of GST return:
When you fail to file GST returns on time it will result in GST registration penalties and cancellation. Unless one does not file a six-month GST return, then the GST registration will be canceled and the individual will not be able to obtain another GST registration-unless all the penalty for late filing is paid.
In case an individual has business operation during the time for which GST return is late-filed, then a penalty Rs.50 per return of GSTR-1. Hence, it will impose a penalty of than Rs.1500 per month.
In addition to the above late filing fees, the individual will also have to pay interest at the rate of 18 percent on GST payment which was later transferred to the Government.
Steps to File GST Return Online:
- Make sure you’re registered under GST and have your 15-digit GST identification number based on your state code and PAN with you. If you don’t have this number, register online first to obtain it.
- Then, visit the official GST portal.
- Click on the ‘Services’ button.
- Tap on ‘Returns dashboard’ and then, from the drop-down menu, fill in the appropriate financial year and the return filing period.
- Now, select the return, which you want to file, and click on ‘Prepare online’.
- Enter all the required things including the amount and late fee, if applicable.
- Once you have entered all the details, click on ‘Save’ and you will see a successful message displayed on your screen.
- Now, at the bottom of the page to file the return, click on the ‘Submit’ button.
- When your return status changes to ‘Submitted,’ scroll down and click on the tile ‘Tax Payment.’ Then click on ‘Check Balance’ to view cash and credit balance before you pay tax for the respective minor heads.
- Next, you need to mention the amount of credit you want to use from the already available credit, to clear your liabilities. Then click on the ‘Liability Offset’ button to pay. Click on ‘OK’ when confirmation is displayed.
- Finally, check the box against the declaration, and select from the drop-down list an authorized signatory. Now click on ‘DSC file form’ or ‘EVC file form’ and then click on the ‘Continue’ button.
