The implementation of the Goods and Services Tax brought with it new reporting procedures. It took some time before businesses got used to the new annual GST return filing process. The new tax regime works on completely digital infrastructure. Taxpayers are required to use the GST portal for all work related to the indirect tax. Whether it is registration or filing returns, they have to use the online system to conduct the process. Moreover, they also have to keep track of all the changes that are constantly being announced by the GST Council. Many businesses have to get help from GST consultants in India not only for the technical online procedure but also to know about the changes. The GSTR-9 Form which is used for submitting annual returns underwent some modifications after the 31 GST council meeting in December last year. Let’s take a look at them.
What Is Form GSTR-9?
Before learning about the changes, let’s know what this form actually is about. The Form GSTR-9 is used by all taxpayers registered under the new law to submit their annual returns. In this form, a taxpayer has to provide the details of all supplies that were made and received during the course of the year. These supplies would have been categorized under the three different tax heads- Central GST, State GST, and Integrated GST. all the information that taxpayers provide throughout the year in their monthly and quarterly returns is presented in a consolidated manner in this document. People must be careful while filing the returns and ensure that all information furnished by them is correct. A failure to do so can attract financial as well as legal penalties. It will be pertinent to engage any professional GST consulting services in India who are well-versed in the return filing process. They will verify all the information with the accounting records of the taxpayer and the previously filed monthly or quarterly returns. This will ensure that an error-free return is submitted.
Who Must File The GSTR-9 Form?
The question that now arises is who is required to file this form. All taxable entities who have registered under the new regime are liable to file this document. Even the taxpayers who have signed up for the composition scheme have to submit the form. Earlier composition dealers had to file four quarterly returns along with the annual return. However, the GST Council in its 32nd meeting earlier this year announced that from 1 April 2019, such users do not need to file the quarterly returns and have to submit only the Form GSTR-9A. Some taxpayers have been exempted from filing this return. Casual taxable persons and input service distributors do not have to file this return. Non-resident taxable persons and TDS paying entities also are not required to make the submission. The last date for the submission of the annual return is 31 December of the subsequent fiscal year unless a changed date is announced by the government. A penalty of Rs 200, consisting of Rs 100 CGST fine and Rs 100 SGST fine, can be charged daily for failing to submit the form in time. However, the total penalty cannot exceed 0.25% of the total turnover of the taxpayer.
Are There Different Types Of The Form?
Yes, there are different versions of this annual GST return form meant for the different kinds of taxpayers. There are 4 types of the GSTR-9 Form:
GSTR-9: This form is meant for regular taxpayers who file GSTR-1 and 3 returns.
- GSTR-9A: All people who have registered for the composition scheme must use the GSTR-9A Form to file annual returns.
iii. GSTR-9B: E-commerce operators who submit GSTR-8 have to use this form for submitting annual returns.
- GSTR-9C: Taxpayers with an annual turnover in excess of Rs 2 crore have to file annual returns through the GSTR-9C Form. These entities must also submit their audited annual accounts and the reconciliation statement of the tax already paid and the tax payable as per audited accounts along with the form.
What Are The Changes Made To The GSTR-9 Form?
The following changes were made to GSTR-9 in the 31st GST Council meeting on 22 December 2018:
- The HSN code of only those inward supplies whose value is 10% or more of the total value of all inward supplies needs to be declared.
- Any unclaimed input tax credit (ITC) cannot be claimed through Forms GSTR-9. However, users can claim the ITC until the due date of filing Form GSTR-3B for March 2019.
- All quarterly and monthly returns through Forms GSTR-1 and 3B have to be filed before the submission of GSTR-9. This is essential because some fields in the form will be auto-populated based on the previous data.
- A slight change in the language of the form has also been made. Now, outward or inward supplies declared in the form have to be filed under the heading “supplies made during the financial year” instead of “supplies, as declared in GST returns filed”.
- The last date for filing the forms GSTR-9, 9A, and 9C for the financial year 2017-18 has been extended to June 30, 2019.
- Taxpayers can make any additional payments in cash by using Form GST DRC-03.
- The value of “No Supply” can be declared under Exempt supplies section in Tables 5D, 5E or 5F of the form.
Filing the annual GST return is a critical task for all taxpayers registered under the new regime. They must engage the experts of the top accounting services in India to get assistance on the procedure.