Assessment and Returns Notes

Assessment: Assessment means determination of tax liability under this act and includes self- assessment, re-assessment, provisional assessment, summary assessment and best judgment assessment.

First returns needs to be filed by taxable in respect of outward suppliers: First returns of outwards supplies needs to be filed from the date on which he became liable to registration till the end of the month in which the registration has been granted.

First returns needs to be filed by taxable in respect of inward suppliers: First returns of inwards supplies needs to be filed from the date of registration till the end of the month in which the registration has been granted.

Required to furnish the details of outward taxable supply: All registered taxable persons are required to furnish the details of outward supplies of goods and services made during the tax period.

GST payment to be done by the taxable person: At the time of supply of Goods as explained in Section 12 and at the time of supply of services as explained in Section 13. The time is generally the earliest of one of the three events, namely receiving payment, issuance of invoice or completion supply. Different situations envisaged and different tax points have been explained in the aforesaid sections.

Tax liability register: Tax Liability Register will reflect the total tax liability of a taxpayer (after netting) for the particular month.

Cash Ledger: The information will be reflected on real time basis. This ledger can be used for making any payment on account of GST.

Input tax: “Input tax” has been defined in section 2 (57) of the MGL and section 2 (1) (d) of the IGST Act. Input tax in relation to a taxable person, means the {IGST. and CGST} in respect of CGST Act and {IGST and SGST} in respect of . SGST Act, charged on any supply of goods and/or services to him which are used, or are intended to be used, in the course or furtherance of his. business and includes .the tax payable Under sub-section (3) of section 7. Under the IGST Act, input tax is defined as IGST CGST or SGST charged on any. supply of goods and / or services.

E-FPB: E-FPB stands for Electronic Focal Point Branch. These are branches of authorized banks which are authorized to collect payment of GST. Each authorized bank will nominate only one branch as Its E- FPB for pan India Transactions. The E-FPB will have to open accounts under each major head for all governments. Total 38 accounts (one each for CGST, IGST and one each for SGST for each State/UT Govt.) will have to be opened. Any amount received by such E-FPB towards GST will be credited to the appropriate account held by such E-FPB.

Supplier account for this TDS while filing his return: Any amount shown as TDS will be reflected in the electronic cash ledger of the concerned, supplier. He can utilize this amount towards discharging his liability towards tax, interest fees and any other amount.

Input tax includes tax (CGST/ IGST/ SGST): Yes, in terms of section 2(54), 2(55) & 2(20) of the MGL respectively. It may be noted that credit of tax paid on capital goods also is permitted to be availed in one installment.

Details to be submitted while furnishing the details of outward supply: The supplier has to furnish the details of invoices, debit notes, credit notes and revised invoices issued in relation to outward supplies made durjnq the tax period.

Required to file an annual return: AH registered taxable persons are required to furnish an annual return for every financial year in form GSTR-9. A registered taxable person opting to pay tax under the composition scheme is required to file the annual return in form GSTR- 9A.

Required to furnish final return: Any registered taxable person whose registration whose registration has been cancelled is required to file final return in form GSTR-10. The return has to be filed within 3 months from the date of cancellation or date of order of cancellation, whichever is earlier.

Zero rated transactions: Certain supplies of goods and services are Zero rated i.e GST is not payable on supply of goods and services but still input tax credit is available.

Main features of GST payment process:

  • Electronically generated challan from GSTN Common Portal.
  • Warehousing of Digital Challan.
  • Convenience of making payment online
  • Logical tax collection data in electronic format
  • Faster remittance of tax revenue to the Government Account
  • Paperless transactions
  • Speedy Accounting and reporting
  • Electronic -reconciliation of all receipts
  • Simplified procedure for banks.

Claim of input credit under GST:

  • A person must have a tax invoice(of purchase) or debit note issued by registered dealer.
  • Should have received the goods/services.
  • The tax charged on purchases has been deDosited/oaid to the government by the supplier in cash or via claiming input credit.
  • Supplier has filed GST returns

Various heads under which information needs to be furnished:

  • Name of Taxable Person
  • Whether Liable to Statutory Audit
  • Auditors
  • Details of Expenditure
  • Details of Income
  • Return Reconciliation Statement
  • Other
  • Profit as per the Profit and Loss Statement.

Sections which will be auto-populated at the time of system login:

  • GSTIN
  • Legal Name
  • Business Name
  • Address

Sections under which information needs to be furnished:

  • Application Reference Number
  • Effective Date of Surrender/ Cancellation.
  • Whether cancellation order has been passed.
  • If Yes, Unique ID of Cancellation order
  • Date of Cancellation Order
  • Particulars of Closing Stock
  • Amount of Tax Payable on Closing Stock
  • Verification.