There are various types of GST registration and some types of entities like casual taxable persons, non-resident taxable persons or persons supplying through eCommerce operators are required to mandatorily obtain GST registration irrespective of turnover limit. The GST turnover limit for regular GST registration for service providers and goods supplier is provided below.

Service Providers: Any person or entity who provides service of more than Rs.20 lakhs in aggregate turnover in a year is required to obtain GST registration. In special category states, the GST turnover limit for service providers has been fixed at Rs.10 lakhs.

Goods Suppliers: As per notification No.10/2019 any person who is engaged in the exclusive supply of goods whose aggregate turnover crosses Rs.40 lakhs in a year is required to obtain GST registration. To be eligible for the Rs.40 lakhs turnover limit, the supplier must satisfy the following conditions:

• Should not be providing any services.
• The supplier should not be engaged in making intra-state (supplying goods within the same state) supplies in the States of Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Puducherry, Sikkim, Telangana, Tripura and Uttarakhand.
• Should not be involved in the supply of ice cream, pan masala or tobacco.

If the above conditions are not met, the supplier of goods would be required to obtain GST registration when the turnover crosses Rs. 20 lakhs and Rs.10 lakhs in special category states.

Service Covered

• Session with Witcorp Expert
• Filing of Application for Registration
• Follow up till you secure GST Identification Number

Who Should Buy

• Any business having a turnover of Rs. 20 Lakhs or more in a financial year
• Any business having a turnover of Rs. 10 lakhs or more in a financial year (For North Eastern States)
• Non-resident taxable person operating his or her business in India
• Vendors selling online through e-commerce platforms

How It’s done

• Purchase of Plan
• Expert Assigned
• Upload documents on vault
• Registration Form Submission on GST portal
• ARN Number Generated which can be used temporarily to issue invoices
• GSTIN Received (3-5 working days subject to Govt. approval)

Documents Required

• Name, Contact Number and Email Id of Stakeholder.
• Self Attested PAN, Aadhar & Passport size photo of Stakeholder.
• Specimen Signatures of Stakeholder.
• Latest Electricity Bill/Landline Bill of Registered Office.
• NOC from owner of registered office. (If Owned)
• Rent Agreement from Landlord. (If Rented/Leased)
• Brief description of main business activities of the proposed Company.
• Cancelled Cheque in business name (After GST Approval)

Goods & Service Tax Registration – Overview

Launched on July 1 2017, the Goods & Services Tax (GST) applies to all Indian service providers (including freelancers), traders and manufacturers. A variety of Central taxes like Service Tax, Excise Duty, CST and state taxes like Entertainment Tax, Luxury Tax, Octroi, VAT are absorbed in one tax – GST, implemented on 01.07.2017. GST is to be charged at every step of the supply chain, with full set-off benefits available. The procedure for GST is entirely online and requires no manual intervention.

Every product goes through multiple stages along the supply chain, which includes the purchasing of raw materials, manufacturing, sale to the wholesaler, selling to the retailer and then the final sale to the consumer. Interestingly, GST will be levied on all of these 3 stages. Let’s say if a product is produced in West Bengal but is being consumed in Uttar Pradesh, the entire revenue will go to Uttar Pradesh.

Also, taxpayers with a turnover of less than Rs.1.5 crore can choose composition scheme to get rid of tedious GST formalities and pay GST at a fixed rate of turnover.

What are the components of GST?

GST will have 3 tax components, which includes a central component (Central Goods and Services Tax or CGST) and a state component (State Goods and Services Tax or SGST) where center and state will levy GST on all entities, i.e. when a transaction happens within a state. Inter-state transactions will attract the Integrated Goods and Services Tax (IGST), to be levied by the center, i.e. when a transaction happens one state to another.

What is the input tax credit?

Input tax credit lets you reduce your tax you have already paid on inputs and pay the remaining amount at the time of paying tax.

You pay taxes on the purchase when a product is purchased from a registered seller, and when you sell the product, you too collect the tax. With input credit, you can adjust the taxes paid at the time of purchase with the amount of tax on sales (output tax) and pay the balance liability of tax, i.e. tax on sale minus tax on the purchase.

Who needs a GST Registration?

Every business or corporation that are involved in the buying and selling and good of services have to register for GST. It is mandatory for companies whose turnover is more than Rs.20 lakhs (for supply of services) and Rs. 40 lakhs ( for supply of goods) yearly to register for a GST.

All businesses making interstate outward supplies of goods have to register for a GST too. The same applies to businesses making taxable supplies on behalf of other taxable persons, example Agents and Brokers.

Also, as per the recent notification, e-commerce sellers/aggregators need not register if total sales are less than Rs.20 lakhs.

What are the GST tax rates?

• Items that are considered basic necessities come under exempt list i.e. they are not taxed.
• Household necessities and life-saving drugs etc. are taxed at 5%.
• Products like computers and processed food are taxed at 12%.
• Hair oil, toothpaste and soaps, capital goods, industrial intermediaries and services are taxed at 18%.
• Luxury items are taxed at 28%.

You can see the tax rates for all the products here: https://cbec-gst.gov.in/gst-goods-services-rates.html

What are the different types of GST Registration?

For the filing of GST, transactions need to be classified depending on the type of customer to whom the sale is done. Following are the two different types of GST registration:

Registration Under Composition Scheme:

The Composition Scheme is for the small taxpayers in order to ease the tax compliance for them. This scheme allows eligible taxpayers to pay a percentage of their yearly revenue as a tax. Like small retailers, eateries and trading businesses. This will relieve the taxpayers/ businesses from collecting taxes from their customers directly and adds benefits as mentioned below:

• File Single Quarterly return, not multiple monthly returns.
• Pay Lower Tax which gives competitive advantage
• Books of Accounts and Records are easy to maintain under GST norms.

In short, this is a customer who has a business which is registered under the composition scheme of GST and has a GSTIN.

Following is the eligibility criteria to register under GST Composition Scheme :

• Must be a Registered Taxpayer
• Annual Turnover should be less than Rs 1 Crore
• Manufacturers of Goods, Dealers, and Restaurants (Not Serving Alcohol) can opt for this scheme.

Registration As a Casual Taxable Person:

Casual Taxable Person is a person who supplies taxable goods or services occasionally like a event management company which has various events in different states needs to register as a Casual Taxable Person for that particular taxable state before supplying or offering any goods or services.

Suppose Mr. ‘A’ has a business of consulting and who provide services in different states, then he needs to register as a Casual Taxable Person so that his business is compliant with the tax norms of that particular state.

GST Portal

The GST portal is a great resource for businesses and individuals who are looking to understand and comply with the GST. The portal provides a range of information and resources that can help you to understand the GST and its implications for your business. The GST portal is a valuable tool for businesses and individuals who are looking to understand and comply with the GST.

GST Search

Are you looking for information on the GST search? If so, you’ve come to the right place. In this blog post, we’ll provide an overview of what the GST search is and how it can be used to help you find information on the internet. The GST search is a powerful tool that can be used to find information on the internet. It is based on the Google search engine and provides results from all over the internet. The GST search can be used to find information on any topic, including businesses, products, services, people, and places. You can also use it to find information on specific topics, such as businesses in a specific location or products in a specific category. To use the GST search, simply enter your search query into the search box on the GST website. You can then use the results to find the information you are looking for. If you are looking for specific information on a topic, you can use the GST search to find it. For example, if you are looking for information on businesses in a specific location, you can enter the location into the search box. The GST search is a powerful tool that can help you find information on the internet. If you are looking for information on any topic, you can use it to find what you are looking for.

Checking of GST Number

If you’re thinking of starting a business in India, one of the first things you’ll need to do is obtain a GST number. This can seem like a daunting task, but it’s actually quite simple. Here’s a step-by-step guide to help you get started. First, you’ll need to gather some basic information about your business. This includes your business name, address, and contact information. You’ll also need to have your PAN number handy. Once you have this information, you can begin the process of checking your GST number. The easiest way to check your GST number is to visit the GST portal. Once you’re on the portal, you’ll need to click on the ‘GST number’ link. This will take you to a page where you can enter your PAN number. Once you’ve entered your PAN number, you’ll be able to see your GST number.

If you don’t have a PAN number, you can still check your GST number by visiting the GST portal. However, you’ll need to click on the ‘Search by name’ link. This will take you to a page where you can enter your business name. Once you’ve entered your business name, you should be able to see your GST number. Once you have your GST number, you can begin the process of registering your business. This is a simple process that can be done online. After you’ve registered your business, you’ll be able to start collecting GST from your customers.

GST Online Verification

The GST online verification process is a simple and convenient way to ensure that your GST returns are filed correctly. By following a few simple steps, you can ensure that your GST returns are filed accurately and on time. First, you will need to create an account with the GST online portal. Once you have created an account, you will be able to login and access the GST online return filing system. Once you have logged in, you will be able to see the status of your GST return. If you have any outstanding GST returns, you will be able to view them and file them online. You will also be able to view any payments that you have made towards your GST liability. This information will help you to keep track of your GST payments and ensure that you are up to date with your GST obligations. The GST online verification process is a simple and convenient way to ensure that your GST returns are filed correctly. By following a few simple steps, you can ensure that your GST returns are filed accurately and on time.

Goods & Service Tax ARN Status

The Goods and Services Tax (GST) is a tax on the supply of goods and services in India. It is levied on all taxable supplies of goods and services in India. GST is also imposed on the import of goods and services into India. The ARN Status is the most important part of the GST. It is a 12-digit number assigned by the GST authorities to every registered business. The first 2 digits of the ARN represent the state in which the business is registered, the next 10 digits represent the registration number of the business. The main purpose of the ARN is to help the GST authorities keep track of businesses registered for GST. It is also used to help businesses identify their correct GST rates. If you are a business owner, you should make sure that your business has a valid ARN. You can check the GST website to find out more information about the GST and how to register your business for GST.

Registration Process of GST

The registration process of GST can be quite confusing for those who are not familiar with it. Here is a quick guide to help you understand the process better. First, you will need to gather all the required documents. These include your identity proof, business proof, and bank details. Once you have all the documents, you can proceed with the registration process. The next step is to log on to the GST website and fill out the online application form. Make sure that all the details provided are accurate and complete. Once the form is submitted, you will receive a confirmation email with your login details. Now, you will need to login to your account and complete the registration process. This includes providing additional details about your business and choosing the appropriate GST scheme. After the registration is complete, you will receive your GST registration number. That’s it! You have now successfully registered for GST.

Preparation of GST Application

One of our GST representatives will collect all the required documents and process the GST application through the iCFO platform.

Application Filing

Once all the documents are collected, the application will be processed and filed. Then immediately the ARN number will be issued.

GST Registration Certificate

The GST registration certificate and GSTIN will be issued upon verification of GST application and other mandatory documents by the GST officer. Be aware that no hard copies of the certificate will be issued and the GST registration certificate can be downloaded from the GST Portal.

Penalties For Failure To GST Registration

As per the Section 122 of the CGST act, in India, there is a direct penalty for all those taxable persons who fail to register for GST.Voluntary Registration Under GST (for Companies With A Turnover Below Rs.20 Lakhs)Any small business with turnover less than 20 lakh can voluntarily register for GST even though it is not compulsory by law. Voluntary GST registration has its own advantages and some of them are:

• Take input credit: In GST, there is a flow of input credit right from manufacturers of the goods till the consumers, across the country. Input credit means a taxpayer while paying tax on output can deduct the tax that has already been paid on inputs and pay only the remaining amount. Voluntarily registered businesses can increase their margins and profits through this.
• Do inter-state selling with no restrictions: SMEs can increase the scope of their businesses and find prospective customers and explore online platforms
• Register on e-commerce websites: SMEs can widen their market by registering through e-commerce sites.
• Have a competitive advantage compared to other businesses.

1.What is GST & GSTIN?

Goods and Services Tax(GST) is a comprehensive tax levied on manufacture, trade and services across India. From 1st July, 2017 GST has replaced most of Centre and State imposed indirect taxes like VAT, Service Tax , Excise etc. Goods and Services Tax Identification Number (GSTIN) is a 15 digits state-wise PAN-based number to be used to identify businesses registered under GST.

 2.Who is an existing Taxpayer?

An existing taxpayer is an entity currently registered under any State or Central laws, like Value Added Tax Act, Central Excise Act and Service Tax Act. Existing taxpayers include taxpayers already registered under :-

» Central Excise

» Service Tax

» State Sales Tax or VAT (except exclusive liquor dealers if registered under VAT)

» Entry Tax

» Luxury Tax

» Entertainment Tax (except levied by the local bodies)

3.Who is a non resident Taxable person under GST?

When you occasionally make supply of goods/services as a principal or agent or any other capacity, in a taxable territory, where GST applies but you don’t have a fixed place of business in India. As per GST you will be treated as a non-resident taxable person. Key pointers:

» Registration shall be valid for 90 days.

» It can be further extended by 90 days.

» An advance deposit of tax liability for the period of registration must be made. Additional tax must be deposited if extension of registration is sought.

» This tax deposited shall be used like ‘input credit’.

4.Do I need PAN to apply for GST registration?

PAN is mandatory to apply for GST registration (except for non-resident person who can get GST registration on the basis of other documents)

5.Is there any time Limit for GST Registration?

Yes, GST is applicable from 1st April, 2017. The following time limit has to be observed:

Already registered dealer will get automatic PAN based registration number without fresh application. A Provisional ID will be generated which needs to be replaced with Final Taxpayer Identification Number (GSTIN)r on completion of formalities.

New dealers crossing the specified threshold limit need to get registered within 30 days from crossing of such limit.

Is electronically signing the registration Application using the DSC mandatory?

Electronically signing the Registration Application using DSC is mandatory for enrollment by Companies, Foreign Companies, Limited Liability Partnership (LLPs) and Foreign Limited Liability Partnership (FLLPs). For other taxpayers, electronically signing using DSC is optional. You may purchase our DSC package from here before proceeding in case you do not have a DSC

6.Is electronically signing the registration Application using the DSC mandatory?

Electronically signing the Registration Application using DSC is mandatory for enrollment by Companies, Foreign Companies, Limited Liability Partnership (LLPs) and Foreign Limited Liability Partnership (FLLPs). For other taxpayers, electronically signing using DSC is optional. You may purchase our DSC package from here before proceeding in case you do not have a DSC

7.I already registered for GST in Maharashtra. Now, I have started operations in Karnataka and need to get my business registered in Karnataka under GST. What do I do?

Yes, if place of business are in two different states you need to apply for separate registration even if business PAN is same.

8.I am registered under GST. How do I start availing Input Tax Credit on duty paid goods lying as on 30th June as stock ?/I have ITC balance shown in my VAT returns, will I get refund or it will be carried forwarded to GST?

Tax credit for pre-GST laws like VAT, Excise etc can be carried forwarded by filing transition forms Tran 1 & Tran 2.

9.Does GST apply to my business?

GST regulations are applicable if your annual turnover is Rs. 20 lakh or above. In case of North Eastern states (Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, and Tripura) and hilly regions i.e. Himachal Pradesh, Uttarakhand, Jammu & Kashmir and Sikkim, the threshold limit is Rs. 10 lakh. The registration is mandatory on crossing the limit of Rs.19,00,000 in previous financial year( for special category states it is Rs. 9,00,000).

Note: If you are selling your goods through online platforms like amazon, Flipkart etc, GST registration is mandatory.

10.I run a tours and travel agency in Assam. My annual turnover is Rs. 8 lakh. Do I need to register under GST?

Businesses in the Northeastern and hill states with annual turnover below Rs.10 lakh have been kept out of the GST net. Since your turnover is not exceeding the limit of Rs. 10 lakh, GST registration is not mandatory for you. In following cases registration is mandatory even if turnover limit has not been crossed:

→ For claiming input of the tax paid on purchase from supplier

→ If your supplier is registered under GST and wants to claim the credit of his purchase, he can do so only if you are able to issue a GST invoice, thus GST registration becomes mandatory in the case

11.run a departmental store in Rajasthan and my business is already registered under RVAT(Rajasthan Value Added Tax). Do I need to apply for fresh registration under GST?

If you are an existing taxpayer you will be transitioned to GST which simply means that now you will be considered as registered under GST. Initially, a provisional registration ID will be allotted which will be replaced by Final Registration ID on fulfilment of government conditions.

12.Earlier I had opted for composition scheme under VAT. Is the concept of composition scheme still there under GST?

Yes, the entities with an annual turnover of Rs 75 lakh and less can avoid collecting GST by opting for the Composition Levy.

13.How will business returns be filed under GST Law?

Under the GST law, a normal taxpayer will be required to furnish three returns monthly and one annual return. Similarly, there are separate returns for a taxpayer registered under the composition scheme and a taxpayer registered as an Input Service Distributor.

14.My company is still not Registered under current tax regime. Can I still buy this package?

This package is valid only if you have all the necessary documents mentioned in the “Documents to be Submitted” . If your company is not registered please have it registered with us first and then GST registration will be pursued.

15.I registered 3 locations within Maharashtra for my business under GST. Now, I need add a new location within Maharashtra. How do I apply for it?

For now rectification in GST registration is not possible. Once enabled, you will be able to add other business located in same state as additional place to business. We will advise you to wait till the government announces that rectification in original registration can be made. If you need GST registration for your new location urgently, you can apply for a fresh registration for that branch.

16.I have business in Karnataka and Maharashtra. Do I need separate GST registrations in the two states?

Yes, if place of business are in two different states you need to apply for separate registration even if business PAN is same.

17.I registered my business under GST in August 2017. When do I need to start filing GST returns?

Every registered person under GST needs to file GST returns for the period starting from the time he got registered or the date when GST got implemented(i.e 1st July)[WHICHEVER IS LATER] . If your business is registered in GST in August, you need to file return for period starting from 1st August, 2017.

GST CANCELLATION

Cancellation or Surrender of GST Number

Cancellation of GST registration simply means that the taxpayer will not be a GST registered person anymore. He will not have to pay or collect GST or claim the input tax credit and accordingly, need not file GST returns.

This is usually needed when an existing business is discontinued or merged with another or converted as per the Indian Law. With Witcorp your GST Number is cancelled smoothly and transition is made super easy along with Post Cancellation Compliances as per the GST Law in India.

Service Covered

• Eligibility Consultation
• Preparation of documents
• Filing of Application for Surrender / Cancellation for 1 GSTIN
• Filing of GSTR 10 for 1 GSTIN
• Business Hour CA Support

Who Should Buy

• Individuals who want to cancel GST Registration
• All entities who want to cancel GST Registration

How It’s Done

• Purchase of Plan
• Upload documents
• Filing of application
• Get Application Code

Documents Required

• Acknowledgement of GST Return of the preceding month
• GST Login Credentials

What are the reasons for Cancellation of GST Number?

GST Registration is usually cancelled under following instances –

• The business has been discontinued
• The business has been transferred fully, amalgamated, de-merged or otherwise disposed —The transferee (or the new company from amalgamation/ demerger) has to get registered. The transferor will cancel its registration if it ceases to exist.
• There is a change in the constitution of the business (For example- Private limited company has changed to a public limited company)

Can GST Registration be cancelled when Turnover is less than 20 lakhs?

Every person who was registered under old laws of taxation like Service Tax, Sales Tax, Excise, etc. had to mandatory migrate to GST. Many such persons are not liable to be registered under GST.

For example, the threshold under VAT in most states was 5 lakhs whereas it is 20 lakhs under GST. However, do make sure you are not making inter-state supplies since registration is mandatory for inter-state suppliers except for service providers.

Which Form is filed for Cancellation of GST Number?

All those who cannot follow the above method must file an application for cancellation in form GST REG 16. The legal heirs of the deceased taxpayer will follow the same procedure as below.

• Application for cancellation has to be made in form GST REG 16.
• The following details must be included in form GST REG 16-
• Details of inputs, semi-finished, finished goods held in stock on the date on which cancellation of registration is applied
• Liability thereon
• Details of the payment
• The proper officer has to issue an order for cancellation in the form GST REG-19 within 30 days from the date of application. The cancellation will be effective from a date determined by the officer and he will notify the taxable person

Can the Tax Officer Cancel my GST Number on its own?

The registration can be cancelled if the taxpayer-

(a) Does not conduct any business from the declared place of business OR

(b) Issues invoice or bill without supply of goods/services (i.e., in violation of the provisions) OR

(c) Violates the anti-profiteering provisions (for example, not passing on the benefit of ITC to customers) ORWith effect from 1st January 2021-

(d) Utilisation of ITC from electronic credit ledger to discharge more than 99% of the tax liability for specified taxpayers violating Rule 86B – with the total taxable value of supplies exceeding Rs.50 lakh in the month, with some exceptions. OR

(e) A taxpayer who cannot file GSTR-1 due to GSTR-3B not being filed for more than two consecutive months (one quarter for those who opt into the QRMP scheme) OR

(f) Avails input tax credit in violation of the provisions of section 16 of the Act or the rules.

Procedure for Cancellation of GST Number by Tax Officer?

• If the proper officer has reasons to cancel the registration of a person then he will send a show-cause notice to such person in form GST REG-17.
• The person must reply in form REG–18 within 7 days from the date of service of notice why his registration should not be cancelled.
• If the reply is found to be satisfactory, the proper officer will drop the proceedings and pass an order in the form GST REG–20.
• If the registration is liable to be cancelled, the proper officer will issue an order in the form GST REG-19. The order will be sent within 30 days from the date of reply to the show cause.

What happens if you don’t cancel the GST Number correctly?

After obtaining GST registration, if there is no business activity, the taxpayer needs to initiate GST cancellation as per the process laid out above. If the taxpayer stops filing GST returns and lets the GST registration to be cancelled by the GST department, then he or she would not  be eligible to obtain another GST registration under the same PAN.

Also, in case a GST registration gets cancelled by the Government, the taxable person would first have to apply for revocation of GST registration cancellation by paying all the late fees (which could run into lakhs) and after restoration – cancel the GST properly or continue filing GST returns. Hence, once a GST registration is obtained, it is vital for the taxpayer to monitor compliance ,and in case of no business  activity, file for cancellation of GST registration at the earliest.

In what scenario my GST Cancellation Application may not be accepted ?

In case the submitted application is Incomplete or In the event of transfer, merger or amalgamation of business, the new entity hasn’t registered with the tax authority prior to the submission of application. In these situations, the concerned Officer provides a written intimation to the applicant regarding the nature of the discrepancy. In which case, the applicant is required to respond to the same within seven days of the date of receipt of the letter, failing which the concerned  Officer may reject the application after providing him/her with an opportunity to be heard.

Anything to be done after filing Cancellation of GST Application?

Every person whose registration has been cancelled are required to file a final GST return in Form GSTR-10 within three months of the date of cancellation or the date of order of cancellation, whichever is later. This is done to ensure that the taxpayer is devoid of liabilities. It may be noted that Input Service Distributors or non-resident taxpayers who are required to pay tax under section 10, section 51 or section 52 are exempted from this provision.

If the final GST return is not filed in Form GSTR-10, the taxpayer will be issued a notice in GSTR-3A, prompting him/her to do the same within  15 days of the issue of such notice. If the taxpayer fails to comply with the notice, initiatives will be taken to assess the liability of the  taxpayer based on the information available with the concerned Officer. The assessing order will be withdrawn if the applicant files the  return within 30 days of the issue of notice.

Revocation of Cancellation of GST Number

Revocation means the official cancellation of a decision or promise. Revocation of cancellation of registration means that the decision to cancel the registration has been reversed and the registration is still valid.

This is applicable only when the tax officer has cancelled the registration of a taxable person on his own motion. Such taxable person can apply to the officer for revocation of cancellation within thirty days from the date of the cancellation order.

Procedure for Revocation of Cancellation of GST Number

• A registered person can submit an application for revocation of cancellation, in form GST REG-21, if his registration has been cancelled suo moto by the proper officer.
• He must submit it within 30 days from the date of service of the cancellation order at the Common Portal.
• If the proper officer is satisfied he can revoke the cancellation of registration by an order in form GST REG-22 within 30 days from the date of receipt of the application. Reasons for revocation of cancellation of registration must be recorded in writing.
• The proper officer can reject the application for revocation by an order in form GST REG-05 and communicate the same to the applicant.
• Before rejecting, the proper officer must issue a show-cause notice in form GST REG–23 for the applicant to show why the application should not be rejected. The applicant must reply in form GST REG-24 within 7 working days from the date of the service of notice.
• The proper officer will take a decision within 30 days from the date of receipt of clarification from the applicant in form GST REG-24

Note: Application for revocation cannot be filed if the registration has been cancelled because of the failure to file returns. Such returns must be furnished first along with payment of all dues amounts of tax, interest & penalty.

Can the business register for GST after cancellation?

Yes, there is no restriction to taking GST registration once it has been cancelled except where it was cancelled by the tax officer.

GST Returns Filing & Compliances

Goods and Services Tax (GST) is applicable in India from 1st July 2017. Under the new GST regime, nearly 1.4 crore businesses in India have obtained GST registration. All entities having GST registration are required to file GST returns every month. GST return filing is mandatory for all entities having GST registration, irrespective of business activity or sales or profitability during the return filing period. Hence, even a dormant business that obtained GST registration must file a GST return.

Businesses that are registered under GST have to file the GST returns monthly, quarterly, and annually based on the business. Here it is necessary to provide the details of the sales or purchases of the goods and services along with the tax that is collected and paid. Implementation of a comprehensive Income Tax System like GST in India has ensured that taxpayer services such as registration, returns, and compliance are in range and perfectly aligned.

An individual taxpayer filing the GST returns has to file 4 forms for filing the GST returns such as the returns for the supplies, returns for the purchases made, monthly returns, and the annual returns.

GST Return filing in India is mandatory for all the entities that have a valid GST Registration irrespective of the business activity or the sales or the profitability during the period of filing the returns. Hence, even a dormant business that has a valid GST registration must file the GST returns.

GST Return is a document that contains the details of all the income or the expenses that a taxpayer is required to file with the tax administrative authorities.

Service Covered

• Filing GSTR 3B & GSTR 1 for ONE GSTIN
• Filing for B2B and B2C invoices
• Book-Keeping and Accounting are not part of this package

Who Should Buy

• Wholesale Traders
• E-Commerce Suppliers
• Retailers
• Manufacturers
• Goods Distributors
• Freelancers
• Service Providers
• Business registered under GST

How It’s done

• Purchase of Plan
• Expert Assigned
• Upload Documents
• Monthly Delivery of Services

Documents Required

• Purchase and Sales Register/Invoices
• Payment challan for GST

What is GSTR 1?

A GST return is a document containing details of all income/sales and/or expenses/purchases that a GST-registered taxpayer (every GSTIN) is required to file with the tax administrative authorities. This is used by tax authorities to calculate net tax liability.

Under GST, a registered dealer has to file GST returns that broadly include:

• Purchases
• Sales
• Output GST (On sales)
• Input tax credit (GST paid on purchases)

Who should file GST Returns?

Under the GST regime, regular businesses having more than Rs.5 crore as annual aggregate turnover (and taxpayers who have not opted for the QRMP scheme) have to file two monthly returns and one annual return. This amounts to 25 returns each year.

Taxpayers with a turnover of up to Rs.5 crore have the option to file returns under the QRMP scheme. The number of GSTR filings for QRMP filers is 9 each year, which include 4 GSTR-1 and GSTR-3B returns each and an annual return. Note that QRMP filers have to pay tax on a monthly basis even though they are filing returns quarterly.

There are also separate statements/returns required to be filed in special cases such as composition dealers where the number of GSTR filings is 5 each year (4 statement-cum-challans in CMP-08 and 1 annual return GSTR-4).

How many returns are there under GST?

There are 13 returns under GST. They are the GSTR-1, GSTR-3B, GSTR-4, GSTR-5, GSTR-5A, GSTR-6, GSTR-7, GSTR-8, GSTR-9, GSTR-10, GSTR-11, CMP-08, and ITC-04. However, all returns do not apply to all taxpayers. Taxpayers file returns based on the type of taxpayer/type of registration obtained.

Eligible taxpayers, i.e. with a turnover exceeding Rs.5 crore are also required to also file a self-certified reconciliation statement in Form GSTR-9C.

Besides the GST returns that are required to be filed, there are statements of input tax credit  available to taxpayers, namely GSTR-2A (dynamic) and GSTR-2B (static). There is also an Invoice Furnishing Facility (IFF) available to small taxpayers who are registered under the QRMP scheme to furnish their Business to Business (B2B) sales for the first two months of the quarter. These small taxpayers will still need to pay taxes on a monthly basis using Form PMT-06.

We have explained the various GST returns, along with applicability and due dates in the section below.

What are the different types of GST returns and the due dates to file them?

***For the taxpayers with aggregate turnover equal to or below Rs 5 crore, eligible and remain opted into the QRMP scheme, 22nd of month next to the quarter for taxpayers in category X states/UTs and 24th of month next to the quarter for taxpayers in category Y states/UTs

• Category X: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana or Andhra Pradesh or the Union territories of Daman and Diu and Dadra and Nagar Haveli, Puducherry, Andaman and Nicobar Islands and Lakshadweep.

• Category Y: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand or Odisha or the Union Territories of Jammu and Kashmir, Ladakh, Chandigarh and New Delhi.

Late Fees for not Filing Return on Time

If GST returns are not filed within the specified time limits, you will be liable to pay interest and a late fee.

Interest is charged at 18% per annum. It has to be calculated by the taxpayer on the amount of outstanding tax to be paid. The time period will be from the next day of filing to the date of payment.

Late fees are charged at Rs.100 per day per Act. Hence, it will be Rs.100 under CGST and Rs.100 under SGST. The total will be Rs.200 per day, subject to a maximum of Rs.5,000. Please note that from the month of/quarter ended June 2021, the maximum amount of late fees has been revised as below.

^Taxpayers should note that an equal penalty will apply under SGST. There are no late fees under IGST.

Does GST have to be paid monthly?

GST is to be paid monthly by regular taxpayers, even those who have opted for quarterly filing of returns, i.e. the QRMP scheme.

However, for small taxpayers, there is an option to choose the composition scheme under GST, if their annual aggregate turnover is up to Rs.1.5 crore for manufacturers/dealers and Rs.50 lakh for pure service providers. They can file a quarterly statement-cum-challan and pay taxes quarterly.

Benefits of Filing your Compliances with Witcorp?

1. Timely Submission – We will submit your GST returns within a period of 3 days from the date of submission of all details. There is also no chance of penalties in future.
2. Year Around Expert Consultation – Get consultation for GST on call. There is no limit on the number of questions or time limit.
3. Save Money (100% ITC Guaranteed) – We offer trusted and professional at affordable prices when compared to market standards.
4. In-House Team of Professionals – We have our professional in-house team. We do not sub-let your work to others

Frequetly Asked Questions

1.What is a GST Return?

A return is a document containing details of income which a taxpayer is required to file with the tax administrative authorities. This is used by tax authorities to calculate tax liability. Under GST, a registered dealer has to file GST returns that includes:

» Purchases

» Sales

» Output GST (On sales)

» Input tax credit (GST paid on purchases)

2.What are the types of GST Returns?

There are three types of GST Returns to be filed every month and an annual return for registered businesses as below:

GSTR-1 includes monthly details of outward supplies of taxable goods and/or services effected. It’s due on 10th of the next month.

GSTR-2 includes monthly details of inward supplies of taxable goods and/or services effected claiming input tax credit. It’s due on 15th of the next month.

GSTR-3 is a monthly return on the basis of finalisation of details of outward supplies and inward supplies along with the payment of amount of tax. It’s due on 20th of the next month.

GSTR-9 is required to be filed annually on 31st December of next financial year.

3.How do I know if my tax invoice is GST compliant?

A tax invoice is generally issued to charge the tax and pass on the input tax credit. A GST compliant tax invoice is a bill which will have 16 mandatory information some of which are:

→ Name, address and GSTIN of the supplier

→ Invoice number

→ Date of issue

→ Name, address and GSTIN of the recipient (if registered)

→ HSN code

→ Description of the goods/services

→ Quantity of goods

→ Value after discount

→ Rate and amount of GST

Under this plan, we expect you to provide a summary of invoices (purchase & sale) covering all this information to help us file your GST returns.

4.Who has to file GST Returns?

In the GST regime, any regular business has to file three monthly returns and one annual return. This amounts to 37 returns in a year. The beauty of the system is that one has to manually enter details of one monthly return – GSTR-1. The other two returns – GSTR 2 & 3 will get auto-populated by deriving information from GSTR-1 filed by you and your vendors.

5.How do i claim input tax credit?

Input credit means at the time of paying tax on output, you can reduce the tax you have already paid on inputs. In this package, we will help you claim input tax credit if you have tax invoice from registered dealers.

6.I’m sports goods wholesaler. Do I need to file GST Returns?

If you are registered under GST, then you need to file GST returns. By filing GST returns, you will be able to claim Input tax credit.

7.How do I claim refund under GST?

The processing time for a refund application has been kept as sixty days under GST model law but it could be as early as two weeks. Our experts will assist you with claiming the refund.

8.Is audit applicable under GST?

Audit under GST is the examination of records maintained by the taxable person to verify the correctness of information declared, taxes paid and to assess the compliance with the provisions of GST. Audit can be done by the taxpayer himself or the tax authorities. Every registered taxable person turnover during a financial year exceeds the prescribed limit [as per the draft rules turnover limit is above Rs 1 crore] must get his accounts audited by a CA or a CMA.

9.What penalties are applicable for non-compliance under GST?

To prevent tax evasion and corruption, GST has brought in strict provisions for offenders regarding penalties, prosecution and arrest. These cover cases of fraud, tax evasion among others

   Annual Return

GSTR 9(Annual Return)Filing

GST has been implemented in India from 1st July, 2017. Under the new GST regime, over 1.3 crore business in India have been registered and issued GST registration. All entities having GST registration are required to file GST annual returns, as per the GST return due date schedule mentioned below. GST annual return filing is mandatory for all entities having GST registration, irrespective of business activity or sales or profitability during the return filing period. Hence, even a dormant business that obtained GST registration must file GST return.

GST registration holder who obtained the registration anytime before 1st April 2018 are required to file GST annual return for the financial year 2017-18 on or before 30th June 2019. Before filing GST annual return the taxpayer must have filed all GSTR-1 or GSTR-3B or GSTR-4 return for the period of July to March 2018. In case there are overdue GST returns for the above-mentioned period, the GST registration holder will not be allowed to file GST annual return.

Service Covered

• GSTR 9 Filing for one GSTIN upto 1000 invoices

• GST 1 and 3B filing is not included in this plan

Who Should Buy

• All eligible taxpayers under GST

How It’s Done

• Purchase of plan
• Tax expert will be assigned
• Share the sales purchase data in correct format
• Tax expert will share the final filing data before filing to government
• Customer approves the numbers
• Tax expert to file the return and send confirmation to the customer

Documents Required

• GSTIN Details
• Sales Purchase Data

Introduction

Goods and Services Tax (GST) was implemented in India on July 1, 2017, with the aim of streamlining the taxation system and unifying various indirect taxes. As part of the GST framework, businesses are required to file multiple returns to ensure compliance. One such return is the GSTR-9, which is an annual return filed by registered taxpayers. In this article, we will delve into the intricacies of GSTR-9, its purpose, and the information it entails.

What is GSTR 9?

GSTR-9 is an annual return that needs to be filed by every registered taxpayer who falls under the regular scheme of GST. It consolidates the information from the monthly or quarterly returns filed throughout the financial year and provides a comprehensive summary of all transactions undertaken by the taxpayer.

Purpose of GSTR 9?

The primary objective of filing GSTR-9 is to ensure transparency and accountability in the GST system. It enables the government to validate the accuracy of the taxes paid and claimed by the taxpayer during the financial year. GSTR-9 also helps in reconciling the data provided in the regular returns, such as GSTR-1 (outward supplies), GSTR-3B (summary of inward and outward supplies), and GSTR-2A (auto-populated details of inward supplies).

The GST audit is a compliance check carried out by the tax authorities to ensure that businesses are correctly paying GST. Businesses with a GST turnover of more than Rs 2 crore are required to get their accounts audited by a Chartered Accountant (CA) or a Cost and Management Accountant (CMA). The audit must be conducted on or before 31st December of the financial year following the financial year being audited.

For businesses with a turnover of less than Rs 2 crore, the audit is not mandatory but it is advisable to get one done to ensure that all GST compliance requirements are met.

The GST audit report must be submitted to the tax authorities within 30 days of the completion of the audit, businesses can be fined up to Rs 10,000 for failing to comply with the GST audit requirements. If you are planning to get your GST audit done, here are some important things to keep in mind:

– Choose a CA or CMA who is experienced in GST audits.

– Make sure that all GST compliance requirements are met before the audit starts.

– Keep all relevant documents and records ready for the auditor.

– Cooperate with the auditor and provide all the information and documents required.

– Respond to the auditor’s findings and queries in a timely manner.

– Make sure that the GST audit report is submitted to the tax authorities within the prescribed time frame.

Following these tips will help you ensure a hassle-free GST audit.

Components of GSTR 9

• Basic Details: The taxpayer’s legal name, GSTIN (Goods and Services Tax Identification Number), financial year, and the date of filing the return.
• Financial Information: This section provides a summary of the taxpayer’s outward supplies, inward supplies, and taxes paid during the financial year. It includes details such as taxable value, tax liability, input tax credit availed, and taxes paid under various heads.
• Details of Input Tax Credit (ITC): This section requires the taxpayer to furnish the details of ITC availed during the financial year. It includes the opening balance of ITC, ITC availed on purchases, ITC reversed, and closing balance of ITC.
• HSN/SAC Summary: Here, the taxpayer needs to provide a summary of the HSN (Harmonized System of Nomenclature) codes for goods or SAC (Services Accounting Code) for services rendered during the financial year. It includes the total turnover and tax liability for each HSN/SAC code.
• Other Information: This section covers additional details such as demands and refunds, supplies made to composition taxpayers, supplies received from unregistered persons, and the late fee paid during the financial year.

Filing of GSTR 9

The filing of GSTR-9 can be done online through the GSTN (Goods and Services Tax Network) portal. It is important to ensure that all the relevant details are accurately filled in, as any discrepancies or omissions may lead to penalties or further scrutiny by tax authorities. The due date for filing GSTR-9 is typically December 31st following the end of the financial year.

Important Points to Note

• GSTR-9C: Taxpayers whose annual turnover exceeds Rs. 2 crores are required to file GSTR-9C along with GSTR-9. GSTR-9C is a reconciliation statement certified by a chartered accountant or a cost accountant.
• Amendments: Any amendments or corrections to the data provided in the regular returns should be made before filing GSTR-9. Once GSTR-9 is filed, any changes can be made through the GSTR-9C form.
• Late Filing: In case of late filing of GSTR-9, a late fee is levied at Rs. 100 per day, subject to a maximum of 0.25% of the taxpayer’s turnover.
• Audit and Assessment: GSTR-9 provides crucial information for audit and assessment purposes. Tax authorities may use the data in GSTR-9 to verify the accuracy of the taxpayer’s GST compliance and initiate further inquiries if required.

Conclusion

GSTR-9 is an essential annual return that ensures the completeness and accuracy of a taxpayer’s GST-related transactions for a given financial year. It serves as a consolidated summary of all the monthly or quarterly returns filed throughout the year and provides valuable insights into the taxpayer’s tax liability, input tax credit availed, and other relevant details. By filing GSTR-9 accurately and on time, businesses can demonstrate their compliance with GST regulations and contribute to a transparent and efficient tax system in India.

Frequently Asked Questions:

Can GSTR 9 be amended post filing?

1.How many types of GST Annual Return are there ?

GSTR-9: All entities having GST registration are required to file GST annual return in form GSTR-9.

GSTR-9A: GST registered taxpayers who have opted for the GST Composition Scheme under Goods and Services Tax (GST) are required to file GSTR-9A.

GSTR-9C: Form GSTR 9C is meant for filing the reconciliation statement of taxpayers pertaining to a particular financial year. The form is a statement of reconciliation between the Annual Returns in GSTR-9 and the figures mentioned in the Audited Financial Statements of the taxpayer.
GSTR 9C is applicable to taxpayers who are required to obtain an annual GST audit of their accounts. GSTR-9C must be prepared and certified by a Chartered Accountant or Cost Accountant. GST audit is applicable for person having GST registration with an annual aggregate turnover of above Rs. 2 crores in a particular financial year.

2.Should GSTR Annual Returns be Audited ?

Yes. Regular taxpayers registered under GST having an annual aggregate turnover of over Rs.5 crores during a financial year are required to the GSTR 9 return with audited accounts. GSTR-9 accounts can be audited by a practising Chartered Accountant or Cost Accountant.