Summary of Latest Changes in GSTR 9 & GSTR 9C by ICMAI

A short time ago, the Central Board of Indirect Taxes and Customs issued the Central Goods and Services Tax (Sixth Amendment) Rules, 2021 that amended Central Goods and Services Tax Rules, 2017. Various amendments have been made in Rule 80 of CGST Rule pertaining to Annual Return (FORM GSTR-9) and Statement of Reconciliation (FORM GSTR-9C).

No Requirement of GSTR-9 for a Turnover up to INR 2 Crore

As per the recent amendments applicable from FY 2020-21 onwards, for the turnover of up to Rs 2 crores, the GSTR-9 will not be required. However, GSTR-9C can be self-certified by taxpayers with turnover less than or equal to Rs. 5 crore from FY 2020-21 onwards. The government of India has declared various amendments in the GSTR-9 i.e

• additional liability for Financial Year 2020-21 can be declared, however, no ITC can be availed thereof
• relaxation in disclosure of break-up of Input Tax Credit (Table 6B, 6C, 6D, 6E), ITC reversal (table 7A to 7H) etc; and
• particulars of transactions for Financial Year 2020-21 declared in returns for the next FY (Part V of GSTR-9) will cover the period April 2021 to September 2021.

GSTR-9C is Required for the Turnover between the Amount of INR 2 crores to INR 5 Crores

Those businesses annual turnover in between the amount of Rs 2 crores to Rs 5 crores ought to furnish GSTR-9C. The government had released the changes in the FORM GSTR-9C after table, for the part beginning with the “Verification of registered person: I hereby solemnly affirm and declare that the information given herein above is true and correct and nothing has been concealed there from. I am uploading this self-certified reconciliation statement in FORM GSTR-9C. I am also uploading other statements, as applicable, including financial statement, profit and loss account and balance sheet, etc.”

Both the Formats i.e. GSTR 9 & GSTR 9C shall be required if Turnover is Greater than INR 5 Crores

If the turnover of the Businesses exceeds the turnover of Rs.5 Crores then they are required to furnish both the GSTR 9 and GSTR 9C. GSTR-9 is an annual compilation of outward supplies, inward supplies, tax liability and input tax credit availed during a financial year. It is due to be filed by 31 December of the year following the particular financial year. GSTR-9C is a statement of reconciliation between the Annual Returns in GSTR-9 filed for a FY and the figures as per the audited annual Financial Statements of the taxpayer.

Last Date for Filing Form GSTR 9 & GSTR 9C

The due date, as per notification, for filing GSTR 9 and GSTR 9C forms is December 31, 2021, for the FY 2020-2021.

“Every registered person, other than those referred to in the second proviso to section 44, an Input Service Distributor, a person paying tax under section 51 or section 52, a casual taxable person and a non -resident taxable person, shall furnish an annual return for every financial year as specified under section 44 electronically in Form GSTR-9 on or before the thirty-first day of December following the end of such financial year through the common portal either directly or through a Facilitation Centre notified by the Commissioner, as per the notification that has amended the Rule 80.”

“The notification was further added. “Every registered person, other than those referred to in the second proviso to section 44, an Input Service Distributor, a person paying tax under section 51 or section 52, a casual taxable person and a non-resident taxable person, whose aggregate turnover during a financial year exceeds five crore rupees, shall also furnish a self-certified reconciliation statement as specified under section 44 in FORM GSTR-9C along with the annual return referred to in sub-rule (1), on or before the thirty-first day of December following the end of such financial year, electronically through the common portal either directly or through a Facilitation Centre notified by the Commissioner”.

Compulsory Certification in GSTR 9C Reconciliation Statement Form (Self Certified)

As per the notification released, each registered person other than (Referred in the Second Proviso to Section44)

• a person paying tax
• an Input Service Distributor,
• a non-resident taxable person,
• a casual taxable person

Whose aggregate turnover during a particular Financial Year is greater than Rs 5 crore rupees ought to submit a self-certified reconciliation statement in the FORM-9C.

Source- https://icmai.in/upload/Taxation/Latest_Changes_0308_21.pdf

Relevant Notification