With the introduction of GST as per the Goods and Services Tax Act in 2017, a whole new tax structure was implemented in the country. GST simplified the tax structure but along with it, came the mandatory formality of filing GST Return.

The motto of ‘One Nation, One Tax, One Market’ is propagated by the Government with its introduction of GST. After the registration of GST, it is important to file GST returns timely in order to enjoy the tax input credits and avoid getting penalised.

What is GST Return?

A GST Return is an official document that holds all the necessary details which a taxpayer needs to file to the tax authorities. Depending on the transaction and turnover, the tax liability is calculated.

Under the GST regime, a registered trader has to file GST returns that include:

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

In case of GST returns or GST filing, GST invoices are mandatory.

Who can file GST Returns?

The GST Act says that any regular businessman or a trader needs to file two monthly GST returns and one annual return, which gives a total of 26 returns in a year.

The number of GST filings varies for different GST return schemes. Also, the number of GST returns to be filed is based on the type of taxpayer, such as regular taxpayer, composition dealer, e-commerce operator, TDS holder, non-resident taxpayer, Input Service Distributor (ISD) etc.

Types of GST Returns

 1. GSTR-1

GSTR-1 is to be filed by all normal taxpayers who are registered under GST. It is to be filed monthly, except in the case of small taxpayers with turnover up to Rs.1.5 crore in the previous financial year, who can file the same quarterly.

2. GSTR-2A

GSTR-2A is the return containing details of all inward supplies of goods and services i.e. purchases made from registered suppliers during a tax period. This is a read-only return.

3. GSTR-2

GSTR-2 is the return for reporting the inward supplies of goods and services i.e. the purchases made during a tax period. Unlike GSTR-2A, the GSTR-2 return can be modified.

4. GSTR-3

GSTR-3 is a monthly summary return of all outward supplies made; inward supplies received and input tax credit claimed, along with details of the tax liability and taxes paid. This return is auto-generated on the basis of the GSTR-1 and GSTR-2 returns filed.

5. GSTR-3B

GSTR-3B is a monthly self-declaration to be filed, for furnishing summarized details of all outward supplies made, input tax credit claimed, tax liability and taxes paid.

6. GSTR-4 / CMP-08

GSTR-4 used to be filed by taxpayers who have opted for the Composition Scheme under GST. CMP-08 is the return which has replaced the GSTR-4. The CMP-08 return is to be filed on a quarterly basis.

7. GSTR-5

GSTR-5 is the return to be filed by non-resident foreign taxpayers, who are registered under GST and carry out business transactions in India. The GSTR-5 return is to be filed monthly.

8. GSTR-6

GSTR-6 is a monthly return to be filed by an Input Service Distributor (ISD). It will contain details of input tax credit received and distributed by the ISD.

9. GSTR-7

GSTR-7 is a monthly return to be filed by persons required to deduct TDS (Tax deducted at source) under GST. GSTR 7 will contain details of TDS deducted, the TDS liability payable and paid and TDS refund claimed if any.

10. GSTR-8

GSTR-8 is a monthly return to be filed by e-commerce operators registered under the GST who are required to collect tax at source (TCS). The GSTR-8 return is to be filed on a monthly basis.

11. GSTR-9

GSTR-9 is required to be filed by all taxpayers registered under GST, except taxpayers who have opted for the Composition Scheme, Casual Taxable Persons, Input Service Distributors, Non-resident Taxable Persons and persons paying TDS.

12. GSTR-9A

GSTR-9A is the annual return to be filed by taxpayers who have registered under the Composition Scheme in a financial year. It is a consolidation of all the quarterly returns filed during that financial year.

13. GSTR-9B

GSTR-9B is an annual return to be filed by every E-commerce operator who is required to collect tax at source under section 52 (5). It contains the details of outward supplies of goods and services, returns if any, and the amount collected during the financial year.

14. GSTR-9C

GSTR-9C is the reconciliation statement to be filed by all taxpayers registered under GST whose turnover exceeds Rs.2 crore in a financial year. The books of accounts need to be audited by a Chartered/Cost Accountant. GSTR-9C is to be filed for every GSTIN; hence, one PAN can have multiple GSTR-9C forms being filed.

15. GSTR-10

GSTR-10 is to be filed by a taxable person whose registration has been cancelled or surrendered. This return is also called a final return and has to be filed within 3 months from the date of cancellation or cancellation order, whichever is earlier.

16. GSTR-11

GSTR-11 is the return to be filed by persons who have been issued a Unique Identity Number (UIN) in order to get a refund under GST for the goods and services purchased by them in India. 

Late filing of GST Returns

GST Return filing is mandatory under the GST Act. In case of no transaction, a NIL return must be filed.

• You cannot file a return if you do not file previous month/quarter’s return.
• Hence, late filing of GST return will have a cascading effect leading to heavy fines and penalty.
• The late filing fee of the GSTR-1 is populated in the liability ledger of GSTR-3B filed immediately after such delay.

Interest/late fees to be paid

• Interest is 18% per annum. It has to be calculated by the taxpayer on the amount of outstanding tax to be paid. It shall be calculated on the Net tax liability identified at the time of payment. The time period will be from the next day of filing due date till the actual date of payment.
• As per the GST Act, Late fee is Rs. 100 per day per Act. So it is 100 under CGST & 100 under SGST. Total will be Rs. 200/day. The maximum is Rs. 5,000. There is no late fee on IGST.

How can we help you?

Online Legal India^TM can help you in filing your GST return online with ease. Not just that, we help you in GST Registration, GST Modification as well. In all cases, the charges are nominal and you get thorough guidance from skilled GST experts.

So, if you face problem in managing the GST formalities besides your business, you are at the right door. We are here to assist you!