A GST return is an official record that contains details of all the sales, purchases, expenses, taxes paid on purchases and taxes paid by a registered taxpayer in a specific period. GST returns must be filed on a regular basis, typically monthly, quarterly, or annually, depending on the type of taxpayer and turnover.
The introduction of GST returns has made it easier for taxpayers to comply with the tax laws by providing a standardized format for reporting their transactions. GST returns also help tax authorities to verify the accuracy of the tax liability declared by taxpayers and to detect any discrepancies or tax evasion.
There are several types of GST returns, including GSTR-1, GSTR-2A, GSTR-3B, GSTR-4, GSTR-5, GSTR-6, GSTR-7, GSTR-8, and GSTR-9. Each return has a different purpose and is filed by different categories of taxpayers. Failure to file GST returns on time can result in penalties and interest charges.
Who should file GST return?
According to the GST Act, a taxable person has established a business in India, in any state, and is eligible to be registered under the act. This person must be a part of a trade or commerce or any economic activity. In India, under the Goods and Services Tax (GST) regime, the following individuals or entities are required to file GST returns:
It is important to note that even if there is no business activity during a specific period, a nil return has to be filed.
Normal GST Returns vs QRMP Schemes.
GST Payments – Interest Levy, Calculation & Payment:-
According to the GST Penalty regulations, interest will be charged at the rate of 18 percent per annum from the taxpayers who fail to pay their taxes on time. The interest will be levied for the days after the due date. Late payment of GST liability attracts interest based on the net tax liability after deducting input tax credit claims. Every taxpayer is required to pay interest if they:
The annual interest rate is 18%. It must be estimated by the taxpayer depending on the amount of delinquent tax. It is based on the net tax liability as it appears in the ledger at the time of payment. The time period will run from the day after the filing deadline until the actual payment date.
2023 Ampuesto Consultancy Private Limited. All rights reserved.