Let’s explore the ways to file GST in a quick and effective manner in the article. You will also learn about the concept of GST in India.
The process of implementing GST in India started in the year 2000, and it took 17 years for the country to develop a full-fledged GST legislation that went into effect on July 1, 2017. Because of the Goods and Services Tax (GST Returns), the cascading impact of taxes on the sale of goods and services has been eliminated, and the tax base has been expanded in India.
Even though companies in India have an easier time understanding the benefits of the GST legislation, many of them often confront obstacles in submitting their gst return form in India. This is because taxpayers must submit several sorts of GST returns, depending on the company they operate.
What Exactly Is a Return for the GST?
A GST return is a document or form that taxpayers registered for GST must submit to the relevant authorities. This document or paper includes information about the taxpayer’s income or sales as well as the taxpayer’s purchases or costs. After receiving this return, the tax authorities will use it to determine the taxpayer’s overall tax burden.
Returns on Goods and Services Tax: Sample Step Process
A person may File GST return effectively by following the procedure, which consists of nine steps, as shown below:
- Make sure that you and your company are registered for the Goods and Services Tax (GST) and that you have the 15-digit GSTIN based on your PAN and state code. If you do not already have a GSTIN, you must register for one before submitting your GST return.
- Go to the GST site and choose the “Services” tab.
- After selecting the financial year and return filing time from the drop-down box, you may go to the next step by clicking on the returns dashboard’ button.
- After choosing the return you want to submit, click the “Prepare Online.”
- Enter the needed data, including the amount, and click the “Submit” button (along with the late fee if applicable)
- To file your GST return, save the information you have filled out, and then click the “Submit” button at the bottom of the page.
- After you have confirmed that your GST return filing status has been updated to “Submitted,” scroll down and choose “Payment of Tax.”
- Before you pay tax for each of the different heads, you may check your cash and credit balance by clicking the “Check Balance” button. After that, choose the “Offset Liability” option to complete the transaction on your web browser.
- Before clicking on the “File Form with DSC” or “File Form with EVC” button, make sure the box next to the supplied declaration is checked, and then choose an authorised signature from the list provided. Last but not least, finalise the payment for your GST return.
Who Is Responsible for Filing Returns for GST?
Businesses with an annual aggregate sales of at least Rs. 5 crore and individuals who have not opted into the QRMP (Quarterly Return Filing and Monthly Payment of Taxes) scheme are required to submit 25 returns each year to comply with the requirements of the GST regime. These consist of one monthly return, two monthly returns, and one yearly return.
On the other hand, taxpayers whose annual revenue is less than five crore rupees are eligible to submit GST returns under the QRP programme. This option is available to taxpayers who qualify. Under this plan, a total of nine separate GST return files are required every year. Note that taxpayers joining this programme must make monthly tax payments, even if they are only required to submit quarterly GST reports.
Late Submission of GST Returns Subject to a Penalty
If taxpayers do not file their GST return within the allotted time, they will be responsible for paying a late charge and any applicable interest accrued. On top of the unpaid amount of tax, you will be subject to interest at 18 per cent per year on the total amount. In addition to this, there is a late charge of Rs. 100 each for CGST and SGST, for a total of Rs. 200 per day for each of these taxes.
Advantages of Using Automation for GST Returns
Paperwork associated with the Goods and Services Tax (GST) in India would, without a doubt, be laborious and time-consuming, just like paperwork associated with any other taxing system. Despite this, a dealer may considerably reduce the time necessary for compliance by using automation tools.
Calculate the GST amount that needs to be paid before registering for GST using our GST calculator.
The identical activities that in the past needed many labour hours contributed by numerous headcounts became much more efficient and precise when automated. The following is a more in-depth examination of these as well as additional advantages of using automation for the filing of GST returns:
Correctness of Filing GST Returns
Ensuring that the calculations are not susceptible to errors caused by human error and defects is the primary benefit of utilising software to file your GST tax return. Everything is automated, so there is little to no human engagement with the process. This helps to guarantee that the findings are accurate and reduces the need for modifications.
Electronic Filing of GST Tax Returns
The introduction of an online filing option for GST returns has provided dealers with a simple and time-effective method. However, most people aren’t used to submitting documents online, and some may even find the concept unsettling. Using software to file computerised tax returns would provide a GST welcome reprieve from that unease.
Discographies of GST Filings
Using automated tax filing software decreases the time spent searching through client files and data, which results in a considerable improvement to document management. Documents are stored and generated by the programme in a protected format that is optimised for simultaneous access by many users.
Reliable Backups
Unlike the usual method of saving documents on paper, storing records in the e-format safeguards essential data from being destroyed by fire, flood, or even theft. This contrasts with the old method of storing documents in paper format. The automatic tax preparation programme creates backups of all data, making them available to numerous users while protecting them from the kinds of harm that might occur in physical files.
Indexation
The capability of automated tax filing software to index files based on several different characteristics, making it simple to search for either a fast reference or a complete study, is a feature that is often overlooked but is still quite significant.
The documentation involved in filing returns for GST is both repetitious and complicated, which makes it easy for errors to be made. A taxpayer may guarantee that the necessary documentation is completed and delivered on time while maintaining the highest possible accuracy level by using automated tax preparation software.
GST Return Forms:
- GSTR – 2: You submit a gstr 2 return filing tax return every month showing your purchases. The GSTN portal will provide you with GSTR-2A for use in your GSTR-2 when you purchase from registered vendors (GSTR-1).
- GSTR -3: GST returns must therefore be filed regularly by all regular taxpayers starting with GSTR-1, followed by GSTR-2 and gstr 3 return filing.
Conclusion
Now that you have learned about the ways of filing GST returns, you can also get help from the experts of Vakilsearch to make the process easier and straightforward. Get in touch with us today to know more about how we can help you.
