The Returns Under The GST Act: How Do You File Them?
Goods and Services tax is a path-breaking regime implemented in India on 1st July 2017. The structure of GST is such that it covers businesses across all categories. Under GST, all registered companies are required to file return month and quarterly and also file GST annual return. An individual or an authorized taxpayer can file returns through the GST portal in a seamless manner. The GST portal contains all options that a taxpayer needs from filing returns to paying taxes. There is a new concept of E-invoice that is going to be released, which will help with the efficiency of generating invoices. GST invoice format in excel is another efficient format to manage invoices. Though there is an announcement for a new invoice that is E-invoicing, filing returns will remain the same for now. Filing returns might be a bit confusing at first, but once you understand the method, you will be able to file returns without any hassle.
A Goods and Service Tax return is a document that contains all the details of income that a taxpayer or business needs to file with the tax authorities. GST return is used to calculate the tax liability of a registered individual or a company. Under the GST regime, a certified supplier needs to file GST returns with details of the purchase, sales, Output GST on sales, and Input tax credit. GST compliant purchase and sale invoices are required to file a return. There is some software available online that helps you efficiently generate GST compliant invoices. Taking the help of software is better than preparing an invoice manually because it helps in avoiding mistakes, and it gets the job done quickly.
Different Types of GST returns:
- GSTR 1 – This return should contain details of the outward supply of taxable services and goods (filed monthly – 11th of the next month)
- GSTR 3B – This return should contain details of a summary of outward supply along with the Input Tax Credit that is declared, and payment of taxes is affected by tax-paying individuals. ( filed monthly – 20th of the next month)
- GSTR 4 – This return is for a taxpayer who is registered under the composition levy. ( filed quarterly – 18th of the month that comes after the end of the quarter.)
- GSTR 5 – This is for a Non- Resident taxable individual. ( filed monthly – 20th of the next month)
- GSTR 6 – This return is for an input service distributor and should be submitted monthly. (13th of the following month)
- GSTR 7- This is a return for authorities deducting tax at the source. (filed monthly – 10th of the next month)
- GSTR 8 – This return should contain details of supplies through the e-commerce operator and should also include details of the amount of tax collected. ( filed monthly – 10th of the next month)
- GSTR 9 – This return is for a regular tax-paying individual, ( filed annually – On or before 31st December of the next financial year)
- GSTR 9A – This return is for those taxpayers who are registered under composition levy, and this return could be filed anytime during the year. ( On or before 31st December of the next financial year)
- GSTR 10 – This return needs to be submitted when the registration is canceled or surrendered. It should be filed within three months of the cancellation of registration.
- GSTR 11 – This return should contain details of inward supply to be entered by an individual who has UIN and who is claiming a refund. (filed monthly – 28th of the following month for which the statement is filed)
Who should file GST returns:
Any registered business under GST is required to submit two monthly returns and one annual return. A total of 26 returns are required (to be filed) in a financial year. It is an efficient system to file returns. Once you submit all the details manually as needed for GSTR -1, the GSTR – 3B will automatically derive that information from GSTR -1 that is filed by you or your suppliers. There are different rules and regulations to file returns for different cases, such as a composition dealer and others.
How do you file GSTR – 1
GSTR – 1 is required (to be filed) before the 11th of the next month of business. This return can be filed through the GST portal, but there are some points you should keep in mind about this return. If the invoice for the number of sales is more than 500, then you will have to download GST offline Utility and generate the return file from this utility. There is no option to perform a bulk invoice action, so you will have to set time aside to file this return. The HSN summary needs to be submitted manually.
Step – by – step procedure to file GSTR – 1.
- Login to the GST portal and click the Services tab.
- Click on returns and then on returns dashboard from the drop-down menu
- A new page will open where you will see options to select the financial year and the month you want to file the return for. Select appropriate year and month that you wish you file returns for and click search.
- You will see three “boxes” for GSTR – 1, GSTR – 1A, and GSTR – 2; each of these boxes will have two options to prepare returns online or offline.
- Click on the prepare online button.
- A new page will open where details of the outward supply of goods and services will be required. There will be a display of boxes or tables where you will have to enter details of outward supply.
- While you enter details, make sure you fill the correct B2B invoice details in the 4A, 4B, 4C, 6C boxes. Once you are assured of the details entered are accurate. Click the Add invoice.
- Enter all the required details such as GSTIN/UIN, Receiver Name, Invoice No, Invoice Date, etc. Click save after entering all the details.
- On the next page, a summary of all the invoice details will be displayed.
- Click on the back button and follow the instructions and fill the required details such as 5A,5B – B2C for large invoices, 9B for Credit/Debit Notes ( for registered and unregistered), 6A for export invoices. Etc.
- Once all the details are correctly submitted, a declaration is needed, and the return can be filed online.
Filing GST annual return or a monthly return is a pretty straight-forward process if you get familiar with the GST portal. Keeping invoices and other details ready helps in filing returns quickly. GST invoice format in excel is among the standard formats of invoices. If you are not familiar or it is too confusing for you to file GST return, and if you fear that you might make mistakes, then taking the help of a software or a registred accountant will help you submit all your returns on time.