A complete guide to ITC maximization using GSTR 2A and 2B along with other essential factors and advanced reconciliation secrets!
The GSTR-8 return form is monthly returned to be filed by e-commerce companies.
E-commerce companies are mandatorily registered under GST and required to deduct TCS (Tax Collected at Source) under GST.Form GSTR-8 showcases the details of supplies made by E-commerce platform to the registered, unregistered customer, tax paid, and tax payable along with the amount of tax collected at source from sellers.Important Features of GSTR-8 Return FormGSTR-8 is a mandatory form that has to file by every registered E-commerce operatorIt has to be filed on or before 10th of the coming month of a tax period.GSTR- 8 contains 8 headings, most of which are auto-populated.The details furnished by an e-commerce operator in GSTR-8 is available in part D of GSTR 2A.E-commerce portal deducts the Tax collection at source(TCS) from the supplier of the goods and services and returns it to the governmentE-commerce operators pay 1% TCS on all the goods and services sold out via their portal.Eligibility for E-commerce TCS Deduction Under GSTCentral Board of Indirect Taxes and Customs (CBIC) have clarified that entities having aggregate turnover less than INR 20 lakhs (or INR 10 lakhs in case of mentioned special category states) in a specific financial year are free from having mandatory registration.How GST defines E-commerce Operator?Section 43B(d) of the Model GST Law defines E-commerce as the platform that let an online market to receive/ supply the goods and services from/ to different vendors and customers respectively.
For an e-filing of GSTR-8 via tools like Gen GST software, an e-commerce operator should be registered under GST.GSTR-8 EligibilityEvery E-commerce operator is eligible to file GSTR-8.
Common Abbreviation Related To GSTR-8GSTIN: Goods and Services Taxpayer Identification NumberUIN: Unique Identification NumberUQC: Unit Quantity CodeHSN: Harmonised System of NomenclatureSAC: Services Accounting CodePOS: Place of Supply of Goods and ServicesB2B: Business to Business (from a registered person to another registered person)B2C: Business to Consumer (from a registered person to an unregistered person)Interest & Penalty on Late or Non-payment of GSTAs per the GST norms, each subsequent non-payment of taxes will accrue 18 percent interest on the GST tax payable starting from the due date till the taxes are paid.
For the detailed knowledge about it, you can check detailed interest guides in chapter 10, point 50 via below mentioned link: https://cbec-gst.gov.in/CGST-bill-e.htmlFor Instance: When a taxpayer fails to pay GST within the due dates there the interest will be calculated starting from the due date i.e.
0.49 per day at approx.
GSTR 1 is a monthly or quarterly return (based on taxpayer’s annual turnover) that should be filed by every registered dealer.
You can use the GST Software offered by IRISGST
In this form, the registered taxpayers are required to provide details of all their outward supplies/sales records.
Due date: The due date for GSTR-1 is based on the taxpayer’s annual turnover.
For businesses with an annual turnover of 1.5 crores or above are required to file their form GSTR 1 on a monthly basis, on or before the 11th day of the succeeding month.
For businesses with turnover below 1.5 crores can file their form GSTR 1 on a quarterly basis, on or before the 30th day of the month succeeding the quarter.
*The following taxpayers are exempt for filing form GSTR 1:
Return for the period of September is the last Return for making all the amendments & adjustments for the previous year.
Suppose, for example for the year 2020-21, GSTR 3B and GSTR 1 is the last return for filling all the amendments of the transactions related to the period April 2020 to March 2021.The following actions have to be taken before filing GST Return for the month of September :Reconcile Sales Turnover reported in GSTR 1 with that of BooksReconcile Sales Turnover reported in GSTR 3B with that of BooksCheck whether all the credit notes issues has been declared in GSTR 1 or not and the effect of the same is taken in GSTR 3B.Reconcile if invoices raised to customers are reported in B2B (customers with GSTIN) or in B2C (Unregistered customer)Reconcile whether all the advances have been reported in GSTR 3B and GSTR 1Reconcile whether the GST paid on advances have been adjusted once the invoice is issued or notReconciliation of ITC from GSTR 2A/2B with Inward RegisterFollow up with the vendors whose ITC is not appearing in GSTR 2B / GSTR 2ACheck whether all the debit notes issued to you have been reflected in GSTR 2A/2B or not.Reverse all the ineligible ITCReconcile HSN Summary with that of Sales Turnover.No additional claim of missing ITC may be made available post-filing of September GSTR 3B return.
Please thoroughly follow the above checklist before you file any September GST returns.The information provided in the Taxzona Blog does not constitute any legal, tax or financial advice.
It does not take into account your particular circumstances, objectives, legal and financial situation or needs.
Before acting on any information in the Taxzona Blog you should consider the appropriateness of the information for your situation in consultation with a professional advisor of your choosing.
Due to the negative impact of the pandemic on small businesses, small taxpayers found it difficult to complete pending compliances under the GST Amnesty Scheme.
Furthermore, small taxpayers lacked the resources to file the pending GSTR-3B by August 31, 2021.
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