CA M.K. Gupta
> GST will 100% be implemented on 01-07-2017*
> Types of taxation in GST*
• IGST : Integrated GST*
• CGST : Central GST which with replacement CST*
• SGST : State GST which will replace VAT*
> WEF from 25.6.17 : Migration towards enrollment of GST will continue till next 3 months
> Registration certificates will be issued online.*
> There will be no check post for 1 year. Only mobile check posts will be in full force. All intelligence officers will be dormant for sometime.*
> In the present Vat system you upload sales & purchases every month. In GST you have to upload every sale & purchase bill.*
> 27. Due Dates for uploading of Returns:
GSTR 1 : 10th of Next Month
GSTR 2 : 15th of Next Month
GSTR 3. : 20th of Next Month
* ( For Regular Dealer ) *
GSTR 4. : 18th of Next Quarter * ( Composite Dealers ) *
GSTR 5 : 20th of Next Month * ( For Non Resident )*
GSTR 6 : 13th of Next Month *(Input Service Distributors)*
GSTR 7. : 10th of Next Month * ( For TDS Returns )*
GSTR 8. : 10th of Next Month *( E-Commerce Operators )*
GSTR 9. : 31st December of Next F.Y.
*(Registered Taxable Person)*
> Be careful, everything in GST is system driven. Once uploaded you cannot revise anything. No officer can help you in this. They can only pity the mistake.
> Your firm rating will be done by the system. Based on the rating audit trials will be conducted.*
> Proposed rates of GST in percentage are 0, 5, 8, 12, 18, 28 & 40.
> Most products MRP to come down.*
> All these categories which were not taxed will now be taxable: Replacements/ return goods, Barters, Free Samples, disposables, scrap material. For example : if you buy a 40 inch led TV from Girias for ?30000 & return back your old TV in exchange for ?4000, you have to pay tax on ?34000.*
> All movements of material will be taxable like :
◊ Head office to branch office (stock transfer),
◊ factory to C & F agent,
◊ godown to shop.
> The GST officer has all rights to value your goods & fix the price. The law will decide Valuation of the product at Various levels like : Manufacturing, Wholesalers, Distribution & retailers.
◊ For example if Kissan is selling Jam for ?150 &
◊ Patanjali is selling the same Jam for ?120.
◊ (Same quantity, flavour, ingredients etc) Then Patanjali has to pay tax on ?150.*
> All books & records to be maintained on daily basis.*
> If your vendor does not upload his bills within 180 days , you will not get tax credit.*
> All VAT related documents like C forms, F forms etc have to be cleared within Sept 2017.
> Your Vat credit will not be carry forwarded to GST.*
> Get Complete your working for Closing Stock for the period 31.3.2017 / 30.6.2017 before GST Implementation date.
> Allocate your such stock into quantative mode.
> Get the A/c Statement from your Suppliers / Creditors for the year ended 31/3/2017 & verify them from your books.
> Rectify *Mismatch Reports of Purchases *, if persists .
> Revise your Vat Returns if point no.4 applies to you.
> Make a separate file of those items which are shown in your Unsold stock as on 30.6.2017 e.g. Purchase Bills/ Bill of Entry/ Excise Paying Documents etc.
> Stock ageing be made to ascertain if any stock is more than 1yr old. If yes
◊ then dispose it off immediately or sell it to your sister concern against Tax Invoice locally.
> Classify stock tax rate wise, purchased locally to get ITC into SGST.
> Classify stock purchased on invoices bearing Duty Payment & non duty payments to get ITC transferred to CGST.
> Inform your GSTIN / ARN to all suppliers of Goods & Services.
> Obtain GSTIN of all Suppliers & Buyers.
> Apply for migration in all states if you have centralized registration under Service Tax.
> Train your accountants for GST accounting and returns formats.
> Make Chart of HSN CODES & GST Rates on your goods & services to be purchased & Sold
> Analyse P and L and see which expenses are liable to RCM
> Kindly Place the order to your printer for * Draft Format *of Tax Invoice/ Bill of Supply/ Debit – Credit Note etc ( as applicable to your business
> If you are planning to generate, invoices through any Software, do align with Software Consulting firm.
> And Get approved the Draft from your GST Expert.
> Use only original Softwares for Accounting & Invoicing purposes.
> Pl pay special attentions for any Calls, mails, messages or communication of your GST Consultant/ Department.
> Make a practice to Upload your Sales / purchases on regular basis at GST Portal3
> GST / Interest/ penalty or any levy may be paid through RTGS/ NEFT/ Debit Card/ Credit Card Etc.
> Penalty Provisions for non-submission of GST returns: Rs 100/- per day but subject to max. Rs.5000/- in each acts.
> Penalty Provisions for non-submission of Annual Return is 0.25% of Annual Turnover.
> Option of revising the return is not available in GST Regime but you can modify your uploaded data by Debit & Credit Notes.
> Every Normal Dealer filing GSTR 1 -3 required to submit Annual Return in GSTR 9 by the due date.
> Late filing would be permitted on payment of late fees only.
Hence late filing of return will not be possible without payment of fees.
> A return furnished without payment of full tax due as per such return shall not be treated as a valid return for allowing input tax credit in respect of supplies made by such person.
> Input tax credit is eligible only after filing a valid GST return.
(Author can be reached at [email protected])