Tag Archives: GST adviser in Delhi India

23rd GST Council Meeting

Lates Changes in GST 23rd Council Meeting

In the 23rd GST Council Meeting, GST rate reduction for various goods and services was announced. A major highlight of the 23rd GST Council Meeting was the reduction of GST rates for various goods listed under the 28% slab. The GST rates changes will tremendously reduce the tax burden on the common man and boost the economy. In this article, we look at a summary of GST rate changes announced in the 23rd GST Council Meeting held on 10th November 2017.

 

Highlights of the 23rd GST Council Meeting

The goods and services on the 28% slab list were severely reduced to a mere 50 from the previous 228 items, which brought smiles to many faces.  The items remaining on the trimmed list now only include luxury and “sin” goods.

Additionally, restaurants will only be taxed at 5%, however, input tax credit will not be available.  This reduction will benefit consumers directly with an increase in online food ordering and eating out.

Moreover, the penalty fee for late filing was drastically reduced from Rs200/day to Rs20/day.

Nepal and Bhutan exporters can now avail of input tax credit on output services, also.

The central government will take care of the compliance for diplomatic mission/UN organization, who will each be issued UIN.

A manual filing process for advance ruling, on future or completed transactions, has been introduced.

Registration exemption of service providers whose aggregate turnover is less than Rs. 20 lakhs (Rs. 10 lakhs for special states) now includes e-commerce operators, interstate and intra-state suppliers.

 

The Recommendations from the 23rd GST Council Meeting

Filing of returns to be simplified

  • Taxpayers should file the returns on Form GSTR-3B with the payment of tax by 20th of every month till March 2018.
  • Filing of form GSTR-2 and GSTR-3 suspended from the current financial year. However, filing of GSTR-1 will continue for the entire period.
  • Taxpayers will be divided into two categories for filling of details in the Form GSTR-1. They are:
    1. Taxpayers with annual turnover upto or below Rs.1.5 crore need to file GSTR-1 on a quarterly basis.
    2. Taxpayers with annual turnover more than Rs.1.5 crore need to file GSTR-1 on a monthly basis.
  • Facility for the manual filing of the application for the advance ruling introduced for the time being.

 

Penalties reduced

  • A large number of taxpayers were unable to file their returns in Form GSTR-3B within due date of July, August, and September 2017.Late fee waived in all such cases.It has been decided that where such late fee was paid, it will be re-credited to their Electronic Cash Ledger under “Tax” head instead of “Fee” head so as to enable them to use that amount for the discharge of their future tax liabilities. The software changes for this would be made and thereafter this decision will be implemented.
  • For the succeeding months i.e. October 2017 onwards, the amount of late payable by a taxpayer whose tax liability for that month was “NIL” will be Rs.20 per day (Rs. 10 per day each if it is under CGST AND SGST Acts). Earlier it was Rs.200 per day(Rs. 100 per day each if it is under CGST AND SGST Acts).

 

GST Rate Reduced from 28% to 12%
For the following goods, GST rate has been reduced from 28% to 12%:

  • Wet grinders consisting of stone as grinder
  • Tanks and other armoured fighting vehicles

 

 

GST Rate Reduced from 18% to 12%
For the following goods, GST rate has been reduced from 18% to 12%:

  • Condensed milk
  • Refined sugar and sugar cubes
  • Pasta
  • Curry paste, mayonnaise and salad dressings, mixed condiments and mixei seasoning
  • Diabetic food
  • Medicinal grade oxygen
  • Printing ink
  • Hand bags and shopping bags of jute and cotton
  • Hats (knitted or crocheted)
  • Parts of specified agricultural, horticultural, forestry, harvesting or threshing machinery
  • Specified parts of sewing machine
  • Spectacles frames
  • Furniture wholly made of bamboo or cane

 

 

GST Rate Reduced from 18% to 5%
For the following goods, GST rate has been reduced from 18% to 5%:

  • Puffed rice chikki, peanut chikki, sesame chikki, revdi, tilrevdi, khaza, kazuali, groundnut sweets gatta, kuliya
  • Flour of potatoes put up in unit container bearing a brand name
  • Chutney powder
  • Fly ash
  • Sulphur recovered in refining of crude
  • Fly ash aggregate with 90% or more fly ash content

 

Conclusion

Mostly, the decisions rendered during the latest GST council meeting were met with smiles and applause.  The cuts and extensions will help to increase compliance, as implementation of GST had left many confused and frustrated business owners in its wake.  However, by adopting the help of the experts at H&R Block to delve into the new GST processes, business owners can once again continue to focus their energy and efforts into what they love most, which is developing their business and increasing their customer base.

 

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GST adviser in India

GST Clarifications

  1. Taxpayers who have not set off their tax liability for GSTR3B for July 2017 and have only done submit of their GSTR-3B, have now been given option to edit, Submit and file their return. But those who have already offset liability would not be able to edit GSTR-3B
  2. If something wrong done in GSTR-3B than Correction can be made in next month’s return or during reconciliation between GSTR-1, 2 & 3 with GSTR-3B.
  3. GST credit can be availed on spare parts used for vehicles repairs and vehicle is a truck used for moving goods.
  4. Under Tran-1 you have to give detail of Revised ST-3 and not the original ST-3.
  5. If you have purchased goods from other state , bill date was 31.08.17 & Goods received on 05.09.2017 , then ITC should be claimed in the return for the Month of September 2017
  6. A taxpayer submitted his registration Application Within 30 days but got registration in August. Now he had purchased certain goods in Month of July. He can take the credit of those bill in the return of August Month.
  7. If you forgot some purchase bill to submit in GSTR-3B of July than you can add them in the Return of August.
  8. Composition Dealer can Import Goods on payment of BCD and IGST
  9. Service tax paid on advance received and now service is completed and while billing under GST Regime GST is Payble on (Bill Amount – Advance Recd)
  10. Input credit of Revise Return filed under VAT laws after 1st july but before filing of TRAN 1 can be claimed only through filling TRAN-1
  11. Unregistered dealer cannot make inter-state supplies except in terms of  Notification 32/17-Central Tax dated 15/09/17. The purchaser will be liable u/s 9(4) to pay GST.
  12. ITC is available under GST with respect to CSR expenses incurred by companies.
  13. Insurance/freight paid and charged separately in export invoice(with IGST), will not be treated as export of service.
  14. MRP is inclusive of all taxes. No amount of GST can be charged over and above MRP. Amount of GST, however is required to be shown separately on Tax Invoice.
  15. Even in case of over the counter sales, if the address of purchaser on Invoice is of other state than it would be treated Inter state Sale.
  16. Section 52 of CGST Act has not yet been notified. Till the section is notified all supplies made through E- commerce portal need to be shown in Part-4A of GSTR-1. These supplies are also need to be shown in Part 3.1 of GSTR-3B
  17. Amount of IGST need to be mentioned on the invoice made to SEZ.
  18. Transporter whose 100% GST liability is paid under reverse charge by receiver of service is not required to be registered under GST as Per Notification No-5/2017 of Central Tax
  19. GST paid on RCM for July on 20 Aug can be utilised against July liability.
  20. RCM is applicable on Expenses incurred by Director outside India for business Purpose if it is in the nature of supply imported into India.
  21. As per Section 51 of CGST Act, only registration of deductor has been opened. Date from which liability to deduct arises will be notified separately.
  22. No ITC can be claimed on Car purchased for business purpose.
  23. Electricity Expense is a Non GST Inward Supplies for GSTR-3B
  24. Manufacturer can take transitional ITC only on duty paying document as per Section 140(3) of CGST Act 2017
  25. If Paid IGST by Mistake instead of CGST+SGST than as per Section 19(1) of the IGST Act A Registered person shall be granted refund of the amount of integrated tax so paid in such manner and subject to such conditions as may be prescribed.
  26. ITC of IGST on import can be availed only if your GSTIN is mentioned on BOE. So if paid a broker pay the amount on behalf of company than no credit will be allowed.
  27. Custom Clearing Charges will come in form GSTR3B under the heading “All other ITC”.
  28. Bill of Supply is to be issued for Exempt Goods, Nil rated supplies and Non-GST goods and not a Invoice
  29. Advance received for export can be shown under Place of supply -Other Territory under tax bracket of 0% at Sl.11 GSTR-1
  30. An Individual renting residential dwelling to Pvt Ltd Co for residential use of director/Officer is Liable to GST
  31. Gst is not applicable on sale of used car by an individual
  32. HSN code for self invoices raised under RCM will depend upon goods / services being procured. To be shown in Table 4B of GSTR-2.
  33. GST paid to bus operator for employee transportation is available as credit because only rent-a-cab credit is blocked.
  34. Transfer of land development rights is taxable under gst. And time of supply is as per Section 13 and value as per Section 15
  35. Reduction in rate is effective from date of Notification- Like Press release dated 5-8-17 reduced GST on certain job work to 5%. Notification issued on 22-8-17. Rate reduction effective from 22-08-2017 I.e from the date of notification
  36. Claim of ITC paid on RCM basis for inward supply from unregistered dealer has to to manually declared in table-4 of GSTR-2, it will not get auto populated
  37. A trader purchased goods from SSI- excise opted out unit and such goods are in stock as on 30-6-17. Is deemed credit available in CGST Vide Trans 1. Yes, please see Rule 117(4) of CGST Rules.
  38. Advertisement Billboard located at Delhi & service provider also in delhi & service recipient at mumbai than CGST+SGST will be charged
  39. Returns under Central Excise Act will continue for non-GST goods.
  40. Mistake in GSTR-3B? can be corrected while filing GSTR-1. Mistake in GSTR-1, can be rectified only in next month’s return.

 

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GST Clarification

Some Important Clarifications Regarding Transportation Charges In The GST Regime

Some Important Clarifications Regarding Transportation Charges In The GST Regime

1-    It is always better in the GST regime to declare the freight charges separately in the invoice as now services received from Goods Transport Agency ( GTA ) are attributable to liability of reverse charge at the rate of 5% . On these services the GTA has no liability of payment of taxes but the recipient of such services has to pay the tax at the rate of 5% on the freight charges claimed by the GTA and the recipient of such services can claim ITC of such tax paid if such person subsequently executes taxable supplies .

2-    It is quite clear that ITC can only be claimed in respect of taxable supplies or zero rated supplies . Zero rated supplies means supplies in the course of export or supplies executed to SEZ units or SEZ developers . No ITC is admissible in respect of exempted or nil rated supplies .

3-    It has already been clarified that the recipient of transportation services from GTA will have to issue a payment voucher at the time of payment of freight charges to the GTA and will have to deposit the tax on such charges when such services are received . The format of payment voucher has been envisaged in Rule 52 of the CGST Rules , 2017 ( Exactly the same rule is envisaged in SGST Rules , 2017 ) .

4-    It is pertinent to note that in the payment voucher described above the recipient has to declare the payable tax and not the paid tax which in itself clarifies that at the time of issue of payment voucher to be issued to GTA , the payment of requisite tax in respect of freight charges claimed by the GTA is not the pre-condition of such issuance of payment voucher . The requisite tax in this respect as declared in the payment voucher is to be paid when the services are received .

5-    The services from the GTA can be taken by the supplier as well as the recipient .

  • In case of the supplier taking the services from GTA for transportation of goods,  the G.R. shall be issued in the name of such supplier as consignor and the recipient shall be consignee and freight charges shall be paid by such supplier to the GTA incurring the liability of reverse charge on such freight charges at the rate of 5% .
      1. Such supplier shall mention the aforesaid freight charges  after the value of taxable goods supplied in the invoice issued and charge the requisite tax on amount which shall include the amount of the value of goods and the amount of the freight charges .

     

      1. Since this supply is the composite supply which includes the supply of taxable goods as well as transportation services ( indicated as freight charges in the invoice issued )  of which the supply of the goods is the principal supply thus the tax shall be charged at the rate which is applicable on the supply of such taxable goods .

     

      1. The supplier shall be entitled to the input tax credit both in respect of the tax paid regarding inputs pertaining to the goods supplied and the tax paid in respect of freight charges as liability under reverse charge .

     

    1. There should not be any confusion regarding the claim of ITC in respect of the tax paid on the basis of reverse charge in respect of services taken from the GTA by the aforesaid supplier because such services have been subsequently supplied to the recipient by such supplier by disclosing the freight charges in the invoice issued by him and subjecting this amount to the requisite tax payable on principal supply of goods in such invoice . Thus these input services have been subsequently supplied in the form of composite supply by such supplier and tax invoice has been issued accordingly .
  • In case the services of transportation is taken by the recipient from the GTA  then the G.R. shall be issued of ” Self ” in respect of the recipient and such recipient shall be liable to pay the tax in respect of such transportation charges or freight charges on the reverse charge basis . In such cases the ITC of tax paid on reverse charge basis shall be claimed by the recipient instead of the supplier of such goods .
  • In the GST regime the GTA need not to get itself registered as the services supplied by it have been put in the ambit of section 9(3) i.e. the liability on such services has been envisaged on the reverse charge basis .
  • The Government by issuing Notification No. 5/2017 Dated 19th June , 2017 has clarified that such  persons shall fall in the category of persons exempted from obtaining registration under the Act ( i.e. CGST/SGST Act, 2017 ) who are only engaged in making supplies of taxable goods or services or both , the total tax on which is liable to be paid on reverse charge basis by the recipient of such goods or services or both under sub-section (3) of section 9 of the  aforesaid Act .

 

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GST Returns

Reverse charge mechanism under GST and implications of exemption upto Rs. 5000 per day

Let’s look at the critical provisions of the GST law which have enabled reverse charge mechanism :-

Compulsory Reverse Charge even if the supplier is registered –

Sec 9(3) The Government may, on the recommendations of the Council, by notification, specify categories of supply of goods or services or both, the tax on which shall be paid on reverse charge basis by the recipient of such goods or services or both and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to the supply of such goods or services or both.

The above section primarily covers services availed from Goods Transport Agency, Lawyer, government, corporate sponsorships, director etc.

 

Reverse Charge if the supplier is unregistered –

Sec 9(4) The central tax in respect of the supply of taxable goods or services or both by a supplier, who is not registered, to a registered person shall be paid by such person on reverse charge basis as the recipient and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to the supply of such goods or services or both.

Central Government had come up with an exemption to the small miscellaneous transactions from unregistered persons.

Notification No. 8/2017- Central Tax (Rate) dt 28.06.2017 issued by Central Government has exempted intra-State supplies of goods or services or both received by a registered person from any supplier, who is not registered, from the whole of the central tax leviable thereon under sub-section (4) of section 9 of the Central Goods and Services Tax Act, 2017 (12 of 2017)

The said exemption shall not be applicable where the aggregate value of such supplies of goods or service or both received by a registered person from any or all the suppliers, who is or are not registered, exceeds five thousand rupees in a day.

To sum up, the supply should be intra state supply (within the state) and can be for goods as well as services or both. Moreover the supply should be received by the registered person from an unregistered dealer only and upto a daily limit of Rs. 5000/-

Example:-

Mr. X  purchased following items from unregistered dealer, all are dated 01.07.2017 as under:

1st bill – From Ram: Stationery = 2000/-
2nd bill – From Shyam: Lunch = 1000/-
3rd bill – From Madhu : Books = 3000/-

In this case, The bills of Mr. X will not get covered under this notification as aggregate value of all supplies exceeds 5000/- on a single date (01.07.2017)

Exemption would have been available if,:

1) Bill dates are different (So that it will come under 5000/- day limit, say bill date of Ram is 02.07.2017)
2) Any of the bills are 1000/- less than the mentioned value(Say Bill of Madhu is Rs 2000/-
3) If the one of the bills in the same of other person (say, one of the bill is in the name of Mr. Y)

FAQ’s

Whether these 5000 limit be availed for those cases where compulsory tax is payable in RCM basis as per section 9(3) of CGST act?

Where Compulsory tax is to be paid under the Reverse Charge Mechanism under 9(3) of CGST Act, and as per Notification N0o. 13/2017- Central Tax (Rate) dt 28.06.2017 the benefit of this limit cannot be availed. Reason being these notification cover only cases of 9(4) and not 9(3).

Mr. X purchased following items from unregistered dealer, all are dated 01.07.2017 as under:

1st bill – From Ram: Stationery = 2000/-
2nd bill – From Shyam: Lunch = 1000/-
3rd bill – From Madhu: Goods Transport Agency = 3000/-

In this case, The bills from Mr Ram and Mr Shyam will get covered under this notification as aggregate value of all supplies does not exceed 5000/- on a single date (01.07.2017). For the Third bill from Madhu Reverse charge is payable u/s 9(3) without any exemption threshold.

Whether this daily limit benefits would be available if the goods/services received from persons covered under 9(4) are blocked credits?

The benefit of daily limit would be available. Output Tax under reverse charge would be payable if it crosses the daily limit even though they are covered under blocked credits.

What if the limit crosses 5000 in a day, is GST payable over and above the value or from rupee 1?

If the value of taxable supplies exceeds Rs5000 per day for all suppliers, then GST would be payable on the Total value of the supplies received from unregistered persons.

 

Is this limit applicable to all supplies?

The limit is applicable to only taxable supply of goods or services or both. Exempt supplies are out of the preview of this notification.

Mr. X purchased following items from unregistered dealer, all are dated 01.07.2017 as under:

1st bill – From Ram: Stationery = 2000/-
2nd bill – From Shyam: Hotel Room = 1000/-
3rd bill – From Madhu: Books = 3000/-

In this case, the bills of Mr. X will not get covered under this notification as aggregate value of all supplies does not exceed 5000/- on a single date (01.07.2017) as the supplies from Shyam for Hotel room booking are exempt under Entry 14 of the exemption notification (12/2017).
What if the supplies are procured from Interstate supply from unregistered?

Benefit of this notification is available only for Intra State Purchase. If any transactions are done on an interstate basis the same are covered under the forward charge and in any case the reverse charge provisions are not applicable.

Goods and services both inclusive 5000 or separate?

Yes, the benefit is inclusive for all goods or services or both.

What rate GST should be payable then?

GST should be payable as per the schedules rate of the product/service.

What if procured from Composition persons?

Since Composition persons are registered person, reverse charge is not applicable on such supplies.

Can credit be availed for these taxes paid and on what basis, any invoice issue requirement?

Credits can be availed on payment of GST in cash. A consolidated monthly tax invoice can be raised if supplies are received from a single vendor. The Invoice shall be raised on the date of receipt of goods or services or both. Also a payment voucher needs to be issued on the date of making any advance payment as the time of supply is invoice of payment whichever is earlier.

 

We have compiled the daily expenses which would be liable to GST if procured from unregistered supplier as below:-

Nature of Expenses GST Rate GST IMPACT/ OTHER REMARKS /Supplies from UR (RCM Applicable)

No GST / NIL GST or EXEMPTED :-

1 Electricity Charges 0% Out of GST

2 Water Charges 0% Out of GST

3 Bank Interest 0% Out of GST

4 Professional Tax 0% Tax levied by local body / other association out of GST

5 License renewal like Pollution, Factories & Boilers & Local Bodies 0% Tax levied by local body / other association out of GST

6 Building or Property Tax 0% Tax levied by local body / other association out of GST

7 Rent Deposits 0% If adjusted with rent or forfeited – GST applicable

8 Other Deposits 0% If adjusted with other expenses or forfeited – GST applicable

9 Petrol Expense 0% Petrol & Diesel out of GST

10 Salary 0% Out of GST

11 Staff Amenities 0% Out of GST if in lieu of salary.

12 Gifts to Staff 0% Gifts by employer of value above Rs. 50000/- shall be liable to GST as outward supply.

13 Staff Mediclaim Contribution 0% Out of GST if in lieu of salary

14 Allowance & incentive to employees 0% Out of GST if in lieu of salary

15 Stamp & Registration Fees 0% If only a pure agent service – ensure GL balance Nil

16 Provision for Doubtful Debts 0% No credit / deduction shall be allowed

17 Bad Debts Written Off 0% No credit / deduction shall be allowed

18 Warranty Labour Charges 0% If there is no supply element & no consideration

19 Donation 0% If there is no supply element & no consideration

20 Labour Welfare Fund Contribution 0% Out of GST

21 Staff Medical Expenses 0% Employee service without any margin

22 Fine & Penalties by Government 0% Out of GST

23 Discounts – shown in bill 0% GST applicable is after all discount
– if shown in the bill

24 Free Gifts, Gold Coin to Customers 0%

25 Interest on Service Tax/ TDS 0%

26 Interest on Vehicle Loan 0%

27 Interest Others 0%

28 Local Conveyance 0%

29 Transportation Charges – Non GTA / Trucks 0%

GST Applicable & No ITC :-

28 Food Expense 12% / No ITC

29 Travel claims – Radio Taxi (Rent-a-cab) 5% No ITC

30 Transportation Charges – GTA 5% No ITC

31 Club & Membership fees 18% No ITC

32 Life Insurance Exps for Employees 18% No ITC

33 Work Contract Services – Construction of Building 18% No ITC if not supplied for outward works contract services

GST Applicable / RCM supply of URD :-

34 Advertisement Charges 18%

35 Advertisement in Magazine, 18%

36 Advertisement in Media 18%

37 Discounts – after issue of invoice (Post supply discount) GST Impact Credit note has to be issued, liability will be reduced to extent of GST on discount.

38 Annual Maintenance Charges 18%

39 Bank Charges – Service charges recovered 18%

40 Broker Fee & Charges 18%

41 Call Centre Expense 18%

42 Customer Schemes by MSIL 18%

43 Construction Work 18% GST amount – no ITC – for immovable property (Building)

44 Consumables Paint material & Other Consumables 28%

45 Customer Welfare expense 18% Food charges – No ITC

46 Contract Labour Expense 18%

47 Extended Warranty Cancellation Charges 18%

48 Free Service Camp Expense 18% If any third party bill comes

49 House Keeping Charges 18%

50 Insurance Charges 18%

51 Legal charges to advocate 18% Advocate raise bill without GST component – RCM to us

52 Loading & unloading Charges 18%

53 Local Conveyance 5% / 12%

54 Mediclaim Policy Premium Contribution A/ c 18%

55 Mobile Allowance 18% Pure Agent Service / If margin then GST applicable

56 Other Training Expense 18%

57 Postage and Courier Charges 18% Subject to certain exemptions

58 Printing & Stationery(Flex Printing, Broad Printing, Notice Printing) 18%

59 Rates and Taxes Actuals Depends on case to case basis

60 Recruitment Expenses 18%

61 Rent Paid 18%

62 Rent Paid for Mess (Employees) 18%

63 Repair and Maintenance – Building / Electrical / P& M / Others 18%

64 RTO Expenses 18% or 28%

65 Sales Promotion – Others / SSI / Display 18%

66 Sponsorship services 18% Reverse Charge to Service Receiver – ITC can be availed

67 Security Charges 18%

68 Staff Recruitment 18%

69 Staff Training Expenses 18%

70 Staff Uniform Expenses 18% If a third party bill comes

71 Stationery Expenses 18%

72 Subscription & periodicals 18%

73 Telephone Charges 18%

74 Transportation Charges – GTA 5%

75 Travelling Expenses Interstate 5%/18% Services from Tour operators / Agencies

76 Travelling Expenses International 28%

Note: The above expense heads are for illustrative purpose only. The applicability of GST on a particular expense has to be checked on case to case basis.

 

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Points to remember for filing GST Returns

The first return of GST is here and is due for filing is 20th of August, 2017.

Points to remember for filing the first GST Return GSTR-3B.

  1.  It is Mandatory to file GSTR-3B and there is no exemption from filing GSTR-3B even if no business is carried in the month of July’2017. NIL GSTR-3B is also to be filed mandatorily.
  2.  GSTR-3B is the provisional return for the month of July’2017. Therefore all dealers who are required to file monthly returns under the GST Regime are required to file GSTR-3B. Composition dealers are required to file quarterly returns therefore dealers who have opted for composition scheme are not required to file GSTR-3B.
  3.  GSTR-3B is not the final return for the month of July’2017 this is only a provisional return. GSTR-1, GSTR-2, GSTR-3 for July’2017 are still required to be filed.
  4.  GSTR-3B cannot be revised. Any revision in the figures for July’2017 has to be done through GSTR-1, 2 and 3 to be filed later on.
  5.  Any taxes due for July’2017 have to be paid before filing GSTR-3B.
  6.  If there is any change in the figures at the time of filing forms GSTR-1,2 & 3 and if there is excess tax payable then the same will have to be paid with interest before filing GSTR-3 due in September.
  7.  If your input credits are more than your output in GSTR-3B then you need not pay any taxes before filing this return. However, it is to be noted that no refund can be claimed in form GSTR-3B and excess credit will be credited to the ITC Ledger.
  8.  The transitional credits available from the previous VAT/Service Tax/Excise regimes will not be available for credit and use in GSTR-3B. Any such credits have to be shown by filing form TRAN-1 and will be available for use only after filing TRAN-1.
  9.  GSTR-3B is a simplified return where only total figures of purchases, sales input tax credits and payments are to be entered. Individual entries for each sale invoice are not to be entered in this return.
  10.  GSTR-3B is to be filed from the period from which the registration is taken by the supplier. Therefore, if you have taken registration in the month of August’2017 the option for filing GSTR-3B for July’2017 will not be available and the no GSTR-3B is to be filed for July’2017.
  11.  GSTR-3B is to be filed through online mode on the GST Portal gst.gov.in
  12.  Following details are to be shown in the return GSTR-3B.
    1. GSTIN number of Registered Person
    2. Legal name of Registered Person
    3. Summary of Outward Supply & Inward Supply under Reverse Charge
    4. Bifurcation of Inter-state outward supplies as follows:
      • a) To unregistered Person
      • b) To Composite taxable Person
      • c) To UIN Holders
    5. Summary of eligible ITC available and the ITC to be reversed and ITC which is ineligible bifurcated into IGST, CGST & SGST/UTSGT and Cess
    6. Summary of Exempted, Nil rated and Non GST inward supplies
      • Interest and late fees payable
    7. Details of payment of tax, which includes Category wise tax payable, ITC availed , TDS credit and Tax paid in cash along with interest and late fees (Though it is not applicable for initial 2 return)
    8. Summary of tax category wise TDS/TCS credit
  13.  Remember the order for set-off eligible ITC. ITC of IGST, CGST and SGST must be set-off from themselves (intra-head) first before being set-off inter-head. Remember that GST and SGST cannot be set-off against each other.
  14.  Any amounts to be paid on reverse charges have also be shown and paid in GSTR-3B also. Please remember that amount payable under reverse charges will not be available to be paid by utilising input credit. Amount payable on reverse charges will have to paid by cash.
  15. GSTR-3B can be submitted through digital signatures or Electronic verification code except for Companies where it has to be filed by digital signatures.

 

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