CA Sanjeev Singhal
CA Sanjeev Singhal

No specific list of accounts or record has been prescribed  in Section 35 of  GST Law. It only talked about the true and correct accounts of  production or manufacture of goods, inward and outward supply of goods and /or services, accounts of stock of goods, record of input credit availed and output tax payable or paid. 

Rule 56,57 and 58 of  Central Goods and Services Tax (CGST) Rules, 2017 specifies the book to be maintained  by registered persons, Generation and maintenance of electronic records and  Records to be maintained by owner or operator of godown or warehouse and transporters.

Accounts and other Record

♣ Every registered person shall maintain at his principal place of business [as mentioned in the certificate of registration] the following record

  • Accounts of production or manufacture of goods
  • Record of inward and outward supply of goods and / or services
  • Record of stock of goods
  • Record of input tax credit availed
  • Record of output tax payable or paid

♣  Taxable person whose turnover during financial year exceed Rs. 2 crore , will get his accounts audited by chartered accountants or cost accountant. Copy of such audited accounts with reconciliation statement as provided in sec. 44[2] shall be submitted to proper officer.

♣  Where taxable person fails to account for goods or services or both in as per sub section 1 of Section 35 , the proper officer will determine the amount of tax payable on such goods which has not been accounted for and proceed with provision of Section 73 and 74 of the act mutatis mutandis.

Books and Record as per CGST Rules, 2017  

Rules  56

i. Amount of goods or services imported and exported and record of payment of taxes under reverse charge including documents of invoice ,bill of supply, delivery challan , credit notes , debit notes, receipt voucher, payment voucher and refund vouchers.

ii. Every registered person other than person covered under composite scheme shall maintain stock of raw material , semi finished goods , finished goods, scrap and wastage and as follows:

Opening balance + receipt- supply- goods lost , stolen, destroyed , written off, disposed off by way of gift or samples.

iii. Every registered person other than composite dealer shall maintain record of GST paid or payable on goods or services under reverse charge or purchase of goods and services from unregistered dealer, tax collected and paid , input tax, ITC claimed, register of tax invoice, debit notes , credit notes, delivery challan issued or receipt during the tax period.

iv. Name and address of supplier from where goods purchased, name and address of person to whom the goods and services have been supplied and complete address of premises where the goods have been stored .

v. Every registered person shall maintained the books of accounts at his principal place of business and books of accounts of his additional place of business mentioned in his certificate of registration and such books of accounts include electronics form as well.

vi. Every books of account shall be serially numbered.

vii. Every agent shall maintain accounts  of received and supply of goods or services on behalf of principal. Particular of goods, quantity , value of goods or services received and supplied on behalf of principal. Statement furnished to principal. Tax paid or received on behalf of principal.

viii. Every registered person doing manufacturing of goods shall maintain monthly quantitative record of goods of raw material or services used for manufacturing and manufactured goods including waste and by products.

ix. Every registered person executing work contract shall keep separate account for work contract

  • Name and address of contractee
  • Description, quantity and value of goods or services received for WC
  • Payment received for WC
  • Name and address of supplier from where goods or services procured for WC

x. Record may be maintained in electronic form and shall be authenticated by means of digital signature.

Generation and maintenance of Electronic record –Rule 57

i. back up of the electronic record shall be maintained and preserved safely so that it can be retrieved any time.

ii. Produce the record on demand either in soft form or hard copy.

iii. On demand produce such file or record and provide the password of files and

Record to be maintained by owner or operator godown or warehouse and transporter – Rule 58

i. Every person required to maintain the record as per section 35[2] , if not registered under the Act, shall furnish the detail of his business electronically on Form –GST ENR-01.

ii. Every person enroll above shall amend the detail on the same form

iii. Subject to the provision of section 56

Any person engaged in the goods of transport of goods , maintain record of goods transported, delivered and stored in transit along with GSTIN of consignor or consignee

Every owner or operator of warehouse shall maintain record of goods remain in warehouse , particulars of  dispatch, movement , receipt and disposal of goods.

iv. Owner or operator of godown shall store the goods in such manner that it can be identified as owner wise or item wise and also facilitate physical verification of stock by proper officer on demand.

  • Taxable person whose turnover during financial year exceed Rs. 2 crore , will get his accounts audited by chartered accountants or cost accountant. Copy of such audited accounts with reconciliation statement as provided in sec. 44[2] shall be submitted to proper officer.
  • Where taxable person fails to account for goods or services or both in as per sub section 1 of Section 35 , the proper officer will determine the amount of tax payable on such goods which has not been accounted for and proceed with provision of Section 73 and 74 of the act mutatis mutandis.
  • Every owner or operator of warehouse or godown and every transporter shall maintain record of consigner, consignee and all other relevant details of the goods as prescribed whether person is registered or not.

Place of business ;

Section 2[85] of the GST Act, place of business to include –

a) Place of business from where business is ordinarily carries on and includes a warehouse , godown or any other place where taxable person store his goods, provide or receive goods or services or both.

b) Place where taxable person maintain his book of accounts

c) A place where taxable person is engaged in business through an agent by what ever named called.

Principal place of Business ;

Section 2[89] means the place of business specifies as the principal place of business in the certificate of registration.

Period of retention of accounts

Every RTP  shall keep the record of all books of accounts and other record and shall retain the same until the expiry of  72 month from the due date of furnishing the annual return . 

Example :

Record of  FY 2017-18 shall be retain till 31.12.2024.

Provided that where RP is in appeal, revision or any other proceeding before any appellate or tribunal or court ,  whether filed by him or by department, or under investigation of offence , shall retains the books for period of one year after the disposal of  such proceeding or the period specified above which shall be later.

Disclaimer :  The contents of this article are solely for information and knowledge and does not constitute any professional advice or recommendation. Author does not accept any liability for  any loss or damage of any kind  arising out of this information set out in the article and any action taken based thereon.

About the Author: Author is practicing chartered accountant in  Gurugram and  in practice of  GST at advance level. He can be reached at  sanjeev.singhal@skaca.in.  WWW. skaca.in

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One response to “Maintenance of Accounts and other Record in GST Law”

  1. balasubramhannian k says:

    i am a employee in a state electricity utility registered under companies act, for transmission and distribution of electricity we fabricate some products after purchasing steel , no re sale, only for own use did we need to pay gst of any stages of production including job work at out of state, pl clafiry

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