What is QRMP Scheme in GSTR ??

Quarterly return Monthly Payment Scheme proposed by government for the registered person who is required to furnish a return in FORM GSTR-3B, and who has an aggregate turnover of up to 5 crore rupees in the preceding financial year. Further in case the aggregate turnover exceeds five crore rupees any time in the year the person shall not be eligible for the scheme in the next quarter.

The proposed scheme is optional and can be availed by based on GSTN i.e. if taxpayer wants to file his return on monthly basis he can go with previous applicable scheme. Though the scheme gives an option to all taxpayer to file GSTR 1 before 3B and avail entire credit which is available in GSTR 2B. GSTR 2B is auto populated on GSTR Portal where an tax payer can check the availability of credit for the period which can be claimed.

Here GSTR 1 is total sales/Outward supply of a taxpayer GSTR 2B is total purchases/ Inward Supply made by a taxpayer and GSTR 3B is difference between total outward supply and total inward supply where a taxpayer have a excess Input tax credit or have to pay tax for the period.

How to exercise option for QRMP Scheme ??

a registered person can opt in for any quarter from first day of second month of preceding quarter to the last day of the first month of the quarter. In order to exercise this option, the registered person must have furnished the last return, as due on the date of exercising such option.

For example: A registered person intending to avail of the Scheme for the quarter ‘July to September’ can exercise his option during 1st of May to 31st of July. If he is exercising his option on 27th July for the quarter (July to September), in such case, he must have furnished the return for the month of June which was due on 22/24th July.

Once the registered person has opted for quarterly filing, he will have to continue to furnish his return every quarter for all future tax periods, except in the following situations:

1. If the taxpayer becomes ineligible for furnishing a quarterly return (for example, if the aggregate turnover crosses Rs.5 crore during a quarter, then from the next quarter he will not be able to file quarterly returns).

If the taxpayer opts to furnish GSTR-3B on a monthly basis.

2. A registered person will not be eligible to opt for furnishing quarterly returns if the last return, which was due on the date of exercising such an option has not been furnished.

Payment in QRMP Scheme

Pay tax on a monthly basis, either by fixed sum method (or) self-assessment method by generating pre-filled challan selecting “monthly payment for quarterly taxpayers”

i) Fixed Sum Method

Ø A pre-filled challan facility in PMT-06 containing either 35%, if the quarterly return has been filed in previous quarter and 100% of previous month (in case the monthly return has been filed for the previous quarter).

Ø Filing of up-to date tax returns is mandatory for using the fixed sum method.

Ø You cannot avail this method if the return for a complete tax period is not filed.

ii) Self -Assessment Method

Ø This method contains Manual computation of taxes to be paid in cash by the taxpayers

Ø Tax liability: Liability on outward supplies plus RCM on Inward supplies minus Eligible ITC.

Ø If cash balance is available in Electronic Cash Ledger and utilizable, then the balance deposit would be sufficient to release the tax liability.

Some benefits of QRMP Scheme

Ø File GST Statements/Returns In FORM GSTR-1 & GSTR-3B just once in a Quarter

Ø Pay monthly tax conveniently using Fixed Sum Method (Pre-filled Challan) or Self-Assessment Method (actual tax due after adjusting ITC) in first two months of a Quarter

Ø Easily opt in and Opt out in Scheme

Ø Self- Assessment of tax once in Quarter instead of Monthly Basis

Overall QRMP Scheme is useful for taxpayers it reduces the burden of monthly filing of return helps to claim entire Input Tax Credit as it gives every taxpayer to file GSTR 3B after GSTR 1.

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Qualification: CA in Job / Business
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Location: Kalyan, Maharashtra, IN
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I am a Chartered Accountant. You can reach out to me on 8879882025. View Full Profile

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April 2021