Essential Details of the GST Annual Return and the Filing Process
Every registered person has to file GST annual return once a year using form GSTR-9 by 31st of March every year. You have to file the return even if you are registered under the GST scheme, including the Composition scheme. So, be prepared with all the GST return data so that you can save both time and efforts at the last moment. It is better to pay your returns in time to maintain your GST compliance ratings.
Failure to file the GST annual return on time will lead to penalties under respective tax heads daily. The late fee is INR 100 under CGST with the same for SGST, leading to a total of INR 200 per day of default. The rules provide a maximum cap for the late fee, which is 0.025% of the taxpayer turnover in the state or union territory. There is no late fee prescribed for IGST.
However, due to pandemic, the GST annual return for 2018-19 has been extended to 30th November 2020.
The Type of GSTR-9 Relevant for You
There are four types of GSTR-9:
- GSTR-9: Regular taxpayers who are filing GSTR-1, GSTR-2, and GSTR-3 can file their returns with this form.
- GSTR-9A: This is for those people who have opted for composition scheme.
- GSTR-9B: This is for e-commerce operators who have filed GSTR-8 during the financial year.
- GSTR-9C: It is for those whose annual turnover is more than INR 2 crores during the financial year.
A copy of audited annual accounts is also filed, and reconciliation statement of tax already paid and tax to be paid as per audited accounts.
The following people are exempted from filing GSTR-9:
- If he/she is registered as a Casual Taxable Person.
- He/she is a non-resident taxable person.
- If the person is paying TDS as per section 51 of the GST Act.
- Input service distributors.
The Details Needed Under GSTR-9
GST annual return consists of 6 parts which are:
- Part I is auto-populated and contains details of the taxpayer.
- The second part consists of more information of supplies received and sent during the financial year. The combined data of all returns filed during the year are also to be stated.
- Part III contains details of ITC and is a summary derived from all the GST returns filed during the financial year.
- This part consists of the details of taxes paid during the financial year, including penalties, interest, and cess.
- Part five should contain the details of the transactions conducted in the previous financial year mentioned in April to September returns of the current year, or details of the filing of annual returns of the last financial year, whichever is earlier.
- Part VI contains the following information:
- Late fee details
- GST refunds and demands
- Details of inward and outward supplies
- Details of supplies received from various taxpayers
Filing GST annual return on time can help you avoid paying penalties and also keep up your compliance ratings. It will keep you in the tax authorities’ good books and improve your goodwill as a responsible entrepreneur. Many times, due to business operations and hectic schedule, the date can either become a reason to panic or headache.
3E Accounting, with its team of highly-qualified and experienced accounting professionals, has been giving support for all GST-related matters to several companies over many years. We will be glad to provide you with assistance for filing of GSTR-9. We not only ensure that you file an annual GST return but also guarantee any penalty due to delay in the filing process.