The article explains about the requirements of CGST Act and corresponding CGST Rules with respect to maintenance of Accounts and registers under Goods and Services Tax Law. Sec 35 & Sec 36 of the CGST Act explains the various requirements of the act with respect to who, when, how, where related to Accounts and Records to be maintained by the assesse.
As per Sec 35 of the CGST Act 2017, every registered person is required to maintain Accounts and Records. The records are required to be kept at the principal place of business of the registered person. The registered person may keep and maintain such accounts and other particulars in electronic form in such manner as may be prescribed.
Following records are required to be maintained by the registered person–
(a) Production or Manufacture of goods;
(b) Inward and Outward supply of goods or services or both;
(c) Stock of goods;
(d) Input tax credit availed;
(e) Output tax payable and paid; and
(f) Such other particulars as may be prescribed
In addition to this, Rule 56 of the CGST Rules 2017 requires maintenance of following records also-
– goods or services imported or exported
– supplies attracting payment of tax on reverse charge
– invoices, bills of supply, delivery challans
– credit notes, debit notes
– receipt vouchers, payment vouchers and refund vouchers
How to Maintain such records?
Rue 56(2) of CGST Rules 2017 explains that every registered person other than a person who is a composition dealer, will maintain the accounts related to stock of goods received and supplied by him which shall contain the following particulars-
a. Opening stock of Goods
b. Receipt of Goods
c. Supply of Goods
d. Goods Lost
e. Goods stolen
f. Goods destroyed
g. Goods written Off
h. Goods disposed off
i. Goods gifted
j. Goods given as free samples
k. Closing stock of Goods
The details must also include the bifurcation on account of raw materials, finished goods, scrap and wastage thereof.
The registered taxable person will include the following accounts in respect of various transactions entered by him during his course of business-
| Register of Goods Produced | Details of the goods manufactured and produced by the manufacturer |
| Purchase Register | This will include all the purchases made by the taxable person for producing goods or rendering of services |
| Sales Register | The assesse will include all the sales done during a particular tax period |
| Stock Register | the assesse will maintain the summary of stock in this register including
– opening stock – Movement of stock i.e. issue, received, disposed etc – Closing stock |
| Input tax Credit Availed | The assesse will include all the details related to tax credit availed |
| Output Tax Liability & Output Tax Paid | The details of GST liability outstanding to be adjusted against input credit or paid out directly |
| Other records if any specified by the Government in the manner decided by the authorities | |
Rule 56(3) of the CGST Rules 2017 also requires that a registered person will maintain a separate account of all the advances received . paid /adjusted which will also include the details of adjustments made in the advances.
Regarding the records of tax payable, the registered person will maintain the following details in terms of Rule 56(4) of the CGST Rules 2017
√ Amount of Tax Payable
√ Amount of Tax Collected
√ Amount of tax paid
√ Input Tax
√ Input Credit Claimed
Following registers are also required to be maintained by the registered person other than the composition dealer
– Register of tax invoices
– Register of credit notes
– Register of Debit Notes
– Delivery Challan issued/ received
Details about the vendors and sellers is required to be maintained in terms of Rule 56(5) of CGST Rules 2017
| Suppliers of Goods/Services of the Registered Person | Buyers of Goods/ Services of the Registered Person |
| – Names
– Complete addresses |
– Names
– Complete addresses |
In addition to this, the registered person should also maintain the complete address of the premises where he has stored goods, even if the goods in transit are stored.
Other important points to be taken care of while maintain the accounts and records under Goods and Services Tax
- The manual records be serially numbered
- Corrections/ overwriting in the registers be avoided
- Attestation regarding manual corrections in the manual records has to be done
- Edit/ Deletion logs are to be correctly recorded in case automated records are maintained by the assesse
- The records maintained by the assesse in the electronic form has to be digitally signed and authenticated.
- Proper electronic back-up of records shall be maintained
- The owner or operator of godown or warehouse and transporters will submit details either directly or through a Facilitation Centre notified by the Commissioner.
