GST Return Filing Registration in India

Filing GST (Goods and Services Tax) returns is a critical compliance activity for businesses in India. This guide will walk you through the essentials of GST return filing, helping you understand the process, types of returns, and key considerations to ensure timely and accurate filing.

What is GST Return Filing?

GST return filing involves submitting details of income, sales, expenses, and purchases to the tax authorities. These filings help the government calculate the tax liability of a business. Businesses registered under GST must file returns monthly, quarterly, and annually based on their turnover and type of registration.

Types of GST Returns

• GSTR-1: Details of outward supplies of goods and services.
• GSTR-2A: Read-only return for details of inward supplies of goods and services
• GSTR-2B: Auto-drafted ITC statement for a fixed period.
• GSTR-3B: Summary return for the payment of GST liabilities
• GSTR-4: Quarterly return for composition scheme taxpayers.
• GSTR-5: Return for non-resident foreign taxpayers.
• GSTR-6: Return for input service distributors.
• GSTR-7: Return for authorities deducting tax at source.
• GSTR-8: Return for e-commerce operators collecting tax at source.
• GSTR-9: Annual return for regular taxpayers.
• GSTR-9A: Annual return for composition scheme taxpayers
• GSTR-9C: Reconciliation statement for taxpayers with an annual turnover exceeding Rs. 2 crores.

Here's a brief definition for each type of GST return

GSTR-1: This return requires the taxpayer to provide details of outward supplies (sales) of goods and services. It must be filed by the 11th of the subsequent month for monthly filers and by the 13th of the month following the quarter for quarterly filers.

GSTR-2A: GSTR-2A is a read-only return that is auto-populated with the details of inward supplies (purchases) as reported by the suppliers in their GSTR-1. Taxpayers use this for reconciliation purposes

GSTR-2B: GSTR-2B is an auto-drafted Input Tax Credit (ITC) statement that compiles details of eligible input tax credits from GSTR-1 and GSTR-5 of suppliers. It helps taxpayers reconcile their ITC claims.

GSTR-3B: This is a summary return where businesses summarize their outward supplies, input tax credit (ITC) claimed, and tax liability. It is filed monthly by the 20th of the subsequent month for regular taxpayers and quarterly for taxpayers under the QRMP scheme.

GSTR-4: GSTR-4 is a quarterly return filed by taxpayers opting for the Composition Scheme under GST. It includes details of turnover and tax payable.

GSTR-5: Non-resident taxpayers providing taxable services in India file GSTR-5. It includes details of supplies made and tax payable.

GSTR-6: Input Service Distributors (ISDs) file GSTR-6 to distribute input tax credits (ITC) among their branches or units.

GSTR-7: Tax Deductors at Source (TDS) file GSTR-7 to report details of TDS deducted, payable, and paid.

GSTR-8: E-commerce operators file GSTR-8 to report supplies made through their platforms and tax collected at source (TCS).

GSTR-9: GSTR-9 is the annual return filed by regular taxpayers providing a consolidated summary of all GSTR-1, GSTR-2A, and GSTR-3B filed during the financial year.

GSTR-9A: This is the annual return filed by taxpayers opting for the Composition Scheme, providing a summary of quarterly returns filed during the financial year.

GSTR-9C: GSTR-9C is a reconciliation statement filed by taxpayers with an annual turnover exceeding Rs. 2 crores. It reconciles the figures reported in GSTR-9 with audited financial statements.

Each type of GST return serves specific purposes and helps in maintaining compliance with GST regulations while ensuring accurate reporting of transactions to tax authorities.

Steps to File GST Returns

• Gather Information: Collect all necessary data, including sales, purchases, output tax, and input tax credits.
• Log in to the GST Portal: Visit the GST portal (https://www.gst.gov.in) and log in using your credentials.
• Prepare Returns: Use the relevant return form (e.g., GSTR-1, GSTR-3B) to enter the required details. You can use GST-compliant accounting software to ease this process.
• Validate Details: Ensure that all details are accurate and match your records.
• Submit Returns: Submit the prepared return form. Confirm the data before submission to avoid errors
• Pay Tax Liability: Pay any outstanding GST liability through online payment methods provided on the portal.
• File Return: After payment, file the return and keep the acknowledgment for future reference.

Key Considerations

• Timely Filing: Ensure returns are filed within the due dates to avoid late fees and penalties
• Accuracy: Double-check all entries to prevent discrepancies and possible audits.
• Reconciliation: Regularly reconcile your books with the returns filed to maintain consistency.
• Record Keeping: Maintain all related documents and records for a minimum of six years.

Who Needs to File GST Returns?

Under the Goods and Services Tax (GST) regime in India, the following entities are required to file GST returns:

• Regular Taxpayers: Businesses and individuals registered under GST for regular supplies of goods or services must file GST returns. This includes filing GSTR-1 (outward supplies), GSTR-3B (summary return), and GSTR-9 (annual return).
• Composition Scheme Taxpayers: Small businesses with a turnover below the prescribed limit can opt for the Composition Scheme. They file GSTR-4 (quarterly return) instead of regular GST returns.
• Non-Resident Taxpayers: Non-resident taxpayers supplying goods or services in India are required to file GSTR-5.
• Input Service Distributors (ISDs): Businesses that receive invoices for services used across multiple locations can distribute input tax credits (ITC) and file GSTR-6.
• Tax Deductors at Source (TDS): Entities deducting TDS under GST are required to file GSTR-7.
• E-commerce Operators: Platforms facilitating the sale of goods or services online and collecting tax at source (TCS) are required to file GSTR-8.
• Annual Return Filers: Every registered taxpayer, including regular taxpayers, composition scheme taxpayers, and others as applicable, must file GSTR-9 (annual return).
• Taxpayers Requiring Audit: Businesses with an annual turnover exceeding Rs. 2 crores are required to undergo an audit and file GSTR-9C (reconciliation statement).

GST Compliance with FilingLounge: Why Choose Us?

Choosing Filing Lounge for your GST returns offers several benefits that can streamline your compliance process and ensure accurate filing:

• Expertise and Experience: Filing Lounge specializes in GST compliance and has a team of experts well-versed in GST laws and regulations. Their experience ensures that your returns are filed accurately and on time, minimizing errors and potential penalties
• Efficiency: Using Filing Lounge’s services can save you time and effort. They streamline the entire GST filing process, from data collection to submission, using efficient systems and software.
• Comprehensive Service: Filing Lounge offers end-to-end solutions for GST compliance, including preparation of returns (GSTR-1, GSTR-3B, etc.), reconciliation of data, and filing on the GST portal. They handle complexities such as input tax credit (ITC) reconciliation and compliance with GST rules.
• Accuracy and Compliance: By entrusting your GST returns to Filing Lounge, you benefit from their meticulous approach to compliance. They ensure that all filings are accurate, adhere to GST laws, and meet the deadlines, reducing the risk of penalties and legal issues.
• Technology Integration: Filing Lounge utilizes advanced technology and GST-compliant software to automate processes and minimize manual errors. This integration enhances efficiency and ensures timely filing.
• Customized Solutions: They offer tailored solutions based on your business needs and scale, whether you are a small business or a large enterprise. Their services adapt to changes in GST regulations and business requirements.
• Support and Guidance: Filing Lounge provides dedicated support and guidance throughout the filing process. Their experts are available to answer queries, resolve issues, and provide updates on GST changes that may affect your business.
• Cost-Effective: Outsourcing GST filing to Filing Lounge can be cost-effective compared to maintaining an in-house team or dealing with the complexities independently. It allows you to focus on core business activities while ensuring compliance.