GST Annual Return is a comprehensive document that summarizes a taxpayer’s transactions and activities over a specific financial year under the Goods and Services Tax regime in India. It is a statutory requirement for all registered GST taxpayers to file the Annual Return to provide a holistic view of their business operations to the tax authorities. Here is an overview of the GST Annual Return filing process:
Eligibility for GST Annual Filing
A business must meet certain criteria to be eligible to file the annual return. These criteria are:
- All regular taxpayers registered under GST, including businesses, partnerships, LLPs, companies, etc., are required to file the GST Annual Return.
Certain taxpayers, such as Input Service Distributors, Composition Scheme taxpayers, Non-Resident taxpayers, and Casual Taxable Persons, are exempted from filing the Annual Return.
Types of GST Annual Returns
GST Annual Returns are of 3 types:
- GSTR-9: This is the standard Annual Return form for regular taxpayers.
- GSTR-9A: This form applies to Composition Scheme taxpayers.
- GSTR-9C: This is a reconciliation statement and certification form for taxpayers with an annual turnover above a specified threshold.
Contents of the GST Annual Return
The GST Annual returns include important details of the business. It includes:
- The Annual Return provides a consolidated summary of outward supplies (sales), inward supplies (purchases), and input tax credits (ITC) availed during the financial year.
- It includes details such as turnover, GST paid, ITC reversals, amendments to previous returns, and any other relevant information.
Also Read: Decoding GST Registration Process
GST Annual Returns Filing Procedure
The GST Annual Returns filing procedure includes a series of steps. The steps are:
Filing of GST Returns online via the GST portal using your registered credentials.
The appropriate form needs to be selected based on the taxpayer category (GSTR-9, GSTR-9A, or GSTR-9C).
Fill in the required details, including turnover, tax paid, ITC details, and any other relevant information.
Verify the details and submit the Annual Return form.
Make the necessary payment, if applicable, based on the turnover and tax liability.
Once filed, a unique reference number (ARN) will be generated as proof of successful filing.
Reconciliation and Audit (GSTR-9C)
- Taxpayers with an annual turnover above the specified threshold are required to file GSTR-9C, which involves the reconciliation of the financial statements with the GST returns.
- A Chartered Accountant must certify the accuracy and compliance of the reconciliation statement.
Due Date and Penalties
- The due date for filing the GST Annual Return is typically December 31st of the subsequent financial year.
- Late filing or non-filing of the Annual Return may attract penalties and interest as per the GST regulations.
Taxpayers must maintain all relevant records, invoices, supporting documents, and books of accounts for a minimum of six years from the due date of filing the Annual Return.
The annual return includes many important details regarding the inward and outward supplies and tax credits. Therefore, complying with the annual return filing procedure is very important for businesses to ensure that they comply with the tax regulations and avoid penalties. Consult with our GST expert to ensure accurate and timely filing of the GST Annual Return. Take charge of your tax compliance with FileMyReturn by your side and ensure compliance.