GST Return Forms-Different Types of GST Returns in India

The Goods and Services Tax (GST) is a unified, value-added tax applied to most goods and services in India. Consumers pay this indirect tax, but businesses that supply the goods and services collect and remit it to the government. GST aims to streamline the taxation system by replacing various central and state taxes, fostering a simpler and more transparent tax regime.

What is a GST Return?

A business files a GST return with the tax authorities, detailing its purchases, sales, output GST (on sales), and input tax credit (GST paid on purchases). The tax authorities use these returns to calculate the business’s GST liability for a specific tax period. The business’s turnover and other factors determine the frequency and types of GST returns.

Types of GST Return Forms

There are different types of GST return forms designed for specific categories of taxpayers. Below is an overview of these forms:

1. GSTR-1

Purpose: Taxpayers use GSTR-1 to report outward supplies (sales) of goods and services. All registered taxpayers must file this return by the 11th of the following month.
Who Should File: All registered taxpayers
Due Date: 11th of the next month (monthly filing). However, businesses with turnover above INR 1.5 crores can opt for quarterly filing.

2. GSTR-2

Purpose: GSTR-2 is a statement for capturing inward supplies (purchases). Regular dealers intended to file this return for purchases and reverse charge details, but its complex structure led to its suspension.
Who Should File: Not applicable currently due to suspension.

3. GSTR-2A

Purpose: GSTR-2A is an auto-populated statement reflecting inward supplies reported by the supplier in GSTR-1. This form gives businesses visibility into the purchases made by them, showing the tax credit they can claim.
Who Should File: Auto-populated; no manual filing required.

4. GSTR-3

Purpose: GSTR-3 was a consolidated monthly return with details of tax liabilities and paid taxes. It was also suspended by the GST Council due to its complexity.
Who Should File: Suspended; no longer applicable.

5. GSTR-3B

Purpose: You use GSTR-3B as a simplified monthly self-declaration return to report both inward and outward supplies and discharge GST liabilities.
Who Should File: All registered taxpayers
Due Date: The deadline is the 20th of the following month for businesses with sales above INR 5 crores, and the 22nd or 24th, depending on the state.

6. GSTR-4 / Form GST CMP-08

Purpose: GSTR-4, replaced by Form GST CMP-08, is filed by taxpayers under the Composition Scheme. It reports tax liabilities and inward supplies.
Who Should File: Composition scheme taxpayers
Due Date: 18th of the month following the quarter.

7. GSTR-5

Purpose: GSTR-5 is filed by non-resident taxable persons, i.e., foreign businesses temporarily operating in India.
Who Should File: Non-resident taxable persons
Due Date: 20th of the next month.

8. GSTR-6

Purpose: GSTR-6 is filed by Input Service Distributors (ISDs) to report the distribution of input tax credit.
Who Should File: Input Service Distributors
Due Date: 13th of the next month.

9. GSTR-7

Purpose: Taxpayers who deduct tax at source (TDS) while making payments to suppliers file GSTR-7.
Who Should File: Taxpayers deducting TDS
Due Date: 10th of the next month.

10. GSTR-8

Purpose: GSTR-8 is filed by e-commerce operators, detailing supplies made to customers through the e-commerce platform.
Who Should File: E-commerce operators
Due Date: 10th of the next month.

11. GSTR-9

Purpose: Taxpayers file GSTR-9 as their annual return, consolidating monthly or quarterly returns and reporting the total supplies made and received during the financial year.
Who Should File: All registered taxpayers
Due Date: 31st December of the subsequent year.

12. GSTR-9A

Purpose: GSTR-9A is a simplified annual return for taxpayers under the Composition Scheme.
Who Should File: Composition scheme taxpayers
Due Date: 31st December of the subsequent year.

13. GSTR-9B

Purpose: GSTR-9B is filed by e-commerce operators to summarize the data from GSTR-8.
Who Should File: E-commerce operators
Due Date: 31st December of the subsequent year.

14. GSTR-9C

Purpose: GSTR-9C is a reconciliation statement, comparing the annual return filed in GSTR-9 with the audited financial statements.
Who Should File: Taxpayers with aggregate turnover above INR 2 crores
Due Date: 31st December of the subsequent year.

15. GSTR-10

Purpose: GSTR-10 is filed when a taxpayer cancels their GST registration. It is a one-time return filed after registration cancellation.
Who Should File: Taxpayers canceling GST registration
Due Date: Within three months of the cancellation date.

16. GSTR-11

Purpose: Entities with a Unique Identification Number (UIN) file GSTR-11 to claim a refund on purchases made for personal consumption.
Who Should File: UIN holders
Due Date: 28th of the following month.

Penalties for Late Filing of GST Returns

Late filing of GST returns attracts penalties:

• INR 100 per day for delayed filing of GST returns, subject to a maximum of INR 5,000.
• For late filing of annual returns, the penalty is INR 100 per day, up to a quarter of the taxpayer’s turnover.

Interest on Late Filing of GST Returns

Interest is levied for delayed payment of tax, and the rates will depend on the type of tax issue:

• Failure to pay tax: Interest will be calculated from the due date.
• Excess claim of input tax credit or excess reduction of output tax liability: Interest will be charged on the excess amount.

Conclusion

Filing the correct GST return on time is crucial for businesses in India to ensure compliance with the GST regime. Understanding the different types of GST return forms is key to staying ahead in the tax filing process. Each form serves a specific purpose, from reporting sales and purchases to reconciling financial statements.