GST Payments and Refunds

After GSTR 1 and GSTR 2 entered by the seller must install GSTR 3 and make GST Payment. Also, if the refund is required, the same will be done by forming a refund application form.

A. Payments –

1. What are the payments to be made under the GST?

     Under the GST tax is paid mainly divided into 3:-

  • IGST – paid delivery (charged to the centre) is made at the interstate
  • CGST – paid when the supply in the State (Payable to centre)
  • SGST – paid when the supply in the State (Payable to state)
CIRCUMSTANCES CGST SGST IGST
Goods sold from Delhi to Bombay NO NO YES
Goods sold within Bombay YES YES NO
Goods sold from Bombay to Pune YES YES NO

In addition to the above payments, the dealer is obliged to make these payments –

  • Tax withheld at source (TDS) – TDS is a mechanism by which the tax is held at the dealer before making transfer vendor

For example –

A government agency provides a road builder laying contract. The contract is worth Rs 10 lakh.

When a government agency makes a payment the developer TDS @ 1% (equivalent to Rs 10,000) will be deducted and the balance amount will be paid.

  • Tax amount of the source (TDS) – TDS is the mechanism by which the tax is deducted from the dealer before payment is made to the supplierThis provision is currently relaxed and will not be applicable for reporting by the government.
  • Reverse charge – The obligation to pay tax shifts from the supplier of goods and services to the recipient. To find out more about the reverse charge, check out our article “Meet All About Reverse Charge under GST

Reverse Charge under GST

  • Interest, penalties, fees and other payments

2) How to calculate the payment of the GTS to be made?

The way in which the calculation is to be made is different for different types of dealers –

  • Regular Dealer:- The regular dealer is required to pay GST on external supplies made and may require input tax credit (ITC) of the purchases made by them.
  • Composition Dealer:- Payment of GST for the composition of the dealer is relatively simple. Merchant, who chose the layout scheme has to pay a fixed percentage of the total amount of GST on foreign supplies made.

3) Who should make a payment?

These dealers are obliged to make a payment to the GTS –

  • A registered dealer is required to make a GST payment if there is GST liability.
  • A registered dealer is required to pay a tax under the Reverse Recovery Mechanism (RCM).
  • The electronic commerce operator is obliged to collect and pay TCS
  • Dealers demanded the seizure of TDS

4) When should the GTS be paid?

Payment for GST should be made when GSTR 3 is submitted, that is, by the 20th of the next month.

5) What are e-books?

These books are held electronically on the GST portal.

e-book

6) How to make a payment to GST?

The fee for GST can be made in 2 ways –

  • Payment through a credit book –

The ITC loan can be taken by dividers for payment to the GTS. The loan can only be taken for a tax payment. Interest, fines and late fees cannot be paid using the ITC.

  • Payment through a Cash Register –

Payment with GST can be made online or offline. The challenge must be generated on the GST portal for online payment and log in.

When the tax liability is more than 10,000 rubles, it is mandatory to pay taxes on the Internet.

7) What is the penalty for non-payment or late payment?

  •  If GST is a short-term, unpaid or paid overdue interest of 18% is required to pay the dealer. Also, the penalty should be paid. The penalty is higher than Rs. 10,000 or 10% of the tax paid or unpaid.

B)  Refund:-

1) What is the return of the GTS?

Usually, when the paid GST is more than the obligation for the GTS, a situation arises in which a return to the GTS is required. According to GST, the recovery request process is standardized to avoid confusion. The process is online and time limits are set for them.

2) When can a return be sought?

There are many cases where recovery may be required. Here are some of them – Excess tax payment is due to error or omission.

  • Export to the dealer (including the fictitious export) of goods/services upon request of a discount or refund
  • ITC accumulation because the exit is exempt from tax or is not calculated with zero
  • Refund of the tax paid for purchases made by UN embassies or bodies
  • Tax refund for international tourists
  • Finalize the provisional assessment

3) How to calculate the GST collection?

Let’s take a simple case of paying surplus taxes.

For Example, Mr B for GST liability for September is RS 50000. But, due to a mistake, Mr B made a GST payment of Rs 5 lakh.

Now Mr B has made an excess payment to the GTS of Rs. 4.5 Lakh which may be required as a refund of it. The deadline for requesting a refund is 2 years from the date of payment.

calculate GST refund

4) What is the time limit for claiming a fee?

The time limit for claiming compensation is 2 years from the relevant date.

The relevant date is different in each case.

Here are the relevant dates for some cases –

Reason for claiming GST Refund Relevant Date
Excess payment of GST Date of payment
Export or deemed export of goods or services Date of despatch/loading/passing the frontier
ITC accumulates as output is tax exempt or nil-rated the Last date of a financial year to which the credit belongs
Finalisation of provisional assessment Date on which tax is adjusted

In addition, if the return delay interest payable 24% GA paid by the government.

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Types of GST Returns and Their Assessment Information

Implementation of Statements based on New Regulations and Notifications

   GSTR-1

Quarterly Returns (Annual Report Statement Debtors 1.5 Crore has the option to retrieve the quarterly return filing)

Period (Quarterly) Due dates
Jan- Mar 30th April 2018
Apr-June 2018 31st July 2018

For turnover of more than Rs 1.5 cr

Period Dates
July to Nov 10th Jan 2018
Dec 10th Feb 2018
Jan 2018 10th Mar 2018
Feb 2018 10th Apr 2018
March 2018 10th May 2018
April 2018 31st May 2018
May 2018 10th June 2018
June 2018 10th July 2018

GSTR-2 and GSTR-3 

the installation is currently suspended but the dates of July 2017 to March 2018 will be made later by the Executive Committee.

GSTR-3B

  • GSTR-3B was launched in June 2018
  • All businesses must install GSTR-3B for the next month until September 2018.
  • The date of April 2018 is extended on 22 May 2018 from May 20, 2018. Read the free release here.

filing currently suspended but the dates for July 2017 to March 2018 will be worked out later by a Committee of Officers.

GSTR-4

Date from the end of April 2018 to June 2018 on 18 July 2018

GSTR-5

Date from the end of April 2018 to June 2018 on July 18, 2018GSTR-5A

GSTR-6

New update! On 31 May 2018

The date of the GSTR-6 search month from July 2017 to June 2018 is extended on 31 July 2018.

Other Due Dates

TRAN-02 – 30th June 2018

Days to get all GST Returns

These payments are similar to the CGST Act *

Return Form Particulars Frequency Due Date
GSTR-1 Details of outward supplies of taxable goods and/or services affected Monthly 10th of the next month
GSTR-2 Details of inward supplies of taxable goods and/or services affected claiming input tax credit. Monthly 15th of the next month
GSTR-3 Monthly return on the basis of finalization of details of outward supplies and inward supplies along with the payment of the amount of tax. Monthly 20th of the next month
GSTR-3B Simple return for Jul 2017- Mar 2018 Monthly 20th of the next month
GSTR-4 Return for compounding taxable person Quarterly 18th of the month succeeding quarter
GSTR-5 Return for Non-Resident foreign taxable person Monthly 20th of the next month
GSTR-6 Return for Input Service Distributor Monthly 13th of the next month
GSTR-7 Return for authorities deducting tax at source. Monthly 10th of the next month
GSTR-8 Details of supplies effected through e-commerce operator and the amount of tax collected Monthly 10th of the next month
GSTR-9 Annual Return Annually 31st December of next financial year
GSTR-9A Annual Return Monthly 31st December of next financial year
GSTR-10 Final Return Once. When registration is cancelled or surrendered Within three months of the date of cancellation or date of cancellation order, whichever is later.
GSTR-11 Details of inward supplies to be furnished by a person having UIN and claiming refund Monthly 28th of the month following the month for which statement is filed

Instant installation

Retrieving shipping is required under the GST. Although there is no transaction, you must install a file in Nil.

  • You can not install the file when you do not enter the monthly return/quarter return.
  • As a result, the return of GST returns will have a significant impact on the payment of large and penalties.

Late fee & Interest

  • Interest is 18% per annum. Must be calculated by the taxpayer at the payout rate payable. The time will be the next day of installing the date of payment.
  • As a GST law, lower fee for Rs. 100 per day per law. So 100 under GST & 100 under SGST. It will all be R. 200 / day. Rs. 5,000. No previous fee for the IGST.
  • Last instalments for GSTR-3B July, August and September. Any fees payable for this month will be payable to Electronic Cash Ledger under ‘Terms’ and may be used to make GST payments.
  • As per latest update, late fees for GSTR-5A earlier reduced stands withdrawn. So, the Late fee of Rs 200 per day (or Rs 100 per day in case of NIL return filing) will apply with effect from 7th March 2018.
  • Late Fee for GSTR-1 filing, GSTR-3B, GSTR-4, GSTR-5 & GSTR-6 after the date has been reduced to Rs. 50 per day of delay.
  • The late fee for filing NIL returns has been reduced to Rs. 20 per day of delay for taxpayers (including Nil tax liability for the month) for GSTR-1, GSTR-3B and GSTR-4 & GSTR-5.

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Sell an E-way bill of final consumers

The e-way account is a document that the person handling the transport/vehicle must deliver if the value of a product it has is more than Rs. 50,000. Under certain circumstances, the end user may also need to create an electronic account. In this article, we will look at cases where consumers/citizens need to create an e-mail account and steps to create the same.

1)  What conditions are necessary when a consumer is required to create an electronic account?

In cases where products higher than Rs. 50,000 has been transferred by the owner of the vehicle (provided that the consumer’s consumer is unlisted), he must submit a bill for the transfer of such goods. The consumer can enter the vehicle number in Part B of the Form GST EWB-01. If the person who transfers the product is an unlisted person or natural citizen, he may either request that the supplier has created an e-account or he can create himself by signing in to the citizen’s portal.

2) A step to creating an e-way bill by citizens

Step-1: Visit e-way bill portal

E way bill portal

 

Step-2: Go to “Registration” and select “E-way account for citizens”

E-way bill for Citizens

 

Step 3: Click “Create New EWB” to create an e-way account

 

Generate New EWB

Step 4: Fill out the basic information in the application for login and click “Continue to Bill Generation”

Bill Generation

  • The first step requires the consumer to fill out the basics such as:
    • State (Duties) – Must be in respect of Address as mentioned
    • Name – Enter the legal name (Mandatory)
    • PAN
    • Email and mobile phone number
    • Complete Consumer Address
  • We can also note that all information here (excluding email and PAN) is mandatory and must be filled with the consumer in order to create an e-mail.
  • The consumer needs to request an OTP that will be sent to a mobile phone and must be verified on the same screen.
  • After following the above information, the consumer can click ‘Continue calculating a generation’ after being marked with a statement.

Step 5: Fill out the details of the items that are transported along with vehicle information.

  • In the screen that appears, select the transaction type as internal or provided
    • If the transaction type is lending, then information from “From” will be automatically based on information that is entered, in the previous step.
    • If the transaction type is internal, then the above component (‘To’) will be automatically.

details of the items

  • Mandatory fields in the ‘To’ section are:
    • GSTIN of whom the goods are transferred to -This will be “URP” if the person is an unlisted taxpayer
    • PIN and state of the person to whom products are sent
  • Product information such as product name, HSN, taxable value (including CGST, SGST, IGST fraction), mode of transport, approximate distance and vehicle number must be filled in.

Item details’ section

Part B: component consists of the vehicle information to be registered.

1)  Approximately distance (to ensure e-mail account value)

2)  Method of transport

3)   Vehicle number

  • The above options are different for different types of transactions. The transaction type to create an e-mail account can be as follows:

1) Export and internal demand – contains the following categories, supply, export, employment, SKD / CKD, the recipient does not know, for personal use, exhibitions or purchases, graphs and others.

Step 6: After completing this information, click ‘Send’. E-way account with a unique e-way account number gets a picture.

3)  Upgrading, printing and invalidating an e-way bill

e-way bill update

 

After a bill has been received and the vehicle’s number needs to be updated/revised, help the following steps to update the same:

  • The consumer must enter the mobile phone number and
  • E-way account number of the one created in the previous step and established OTP.

This step will further lead to a screen that requires us to enter the new vehicle number.

The same steps mentioned above (ie mobile phone number and electronic account number) can be used to print the e-road account from the portal and to cancel the e-account.

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