Arjuna (Fictional Character): Krishna, Lord of knowledge Ganesha would arrive soon to bless his devotees. Everywhere the preparations to welcome Ganesha have begun. Amidst the preparation Government has introduced yearly annual return under GST. What do you say about it?
Krishna(Fictional Character): Arjuna, Ganesha is also named as “Vignaharta”. He removes all the obstacles in one’s path. Similarly he would also remove/solve the obstacles in GST Annual return for F.Y. 2017-18. Recently government came up with the format of annual return. GSTR 9 and GSTR9A have been notified for Regular as well as Composition taxpayers respectively. The last date for furnishing annual return has been notified as 31st December, 2018. Its already late but hope it will resolve issues of revised, amendments, etc of errors happened in GST returns of F.Y. 2017-18.
Arjuna: Krishna, what details the taxpayer needs to provide in Annual return?
Krishna: Arjuna, following details the taxpayer needs to provide in Annual return:
1. Details of Outward and inward supplies declared during the financial year ( From July 2017 to March 2018).
2. Details of Outward supplies on which tax is not payable as declared in returns filed during the financial year.
3. Details of ITC as declared in returns filed during the financial year.
4. Details of ITC Reversed and Ineligible ITC as declared in returns filed during the financial year and Other ITC related information
5. Details of tax paid as declared in returns filed during the financial year.
6. Particulars of the transactions for the previous FY declared in returns of April to September of current FY or upto date of filing of annual return of previous FY whichever is earlier.
7. Other Information like – Particulars of Demands and Refunds, Information on supplies received from composition taxpayers, deemed supply under section 143 and goods sent on approval basis, HSN Wise Summary of outward and Inward supplies,Late fee payable and paid.
8. All this information needs to reconcile with books of accounts.
Arjuna: Krishna, What Vighnas taxpayers might face in the annual return?
1. The firt vighna is, Annual return has been notified but not yet available to the taxpayers, September has already come and people are closing their books of accounts. The more delay in the return, the more problems to rectify would arise.
2. The some data of annual return prescribed would be auto populated by the GSTN system. How these would be populated? And what if these details are wrong or technical error happens? Are still unanswered.
3. The annual return requires the bifurcation of ITC claimed for Inputs, Capital goods and Input services. But it is to be noted that the ITC amount mentioned in monthly returns does not have these bifurcation.
4. Also information regarding the transactions for the previous FY (2017-18) declared in returns of April, 2018 to September, 2018 or upto date of filing of annual return of previous FY (2017-18) whichever is earlier are required to be given. Taxpayer need to carefully furnish this information.
5. Information on supplies received from composition taxpayers and goods sent on approval basis and for job work is to be given. Generally taxpayers do not have these details ready with them.
Arjuna: Krishna, What lesson the taxpayer should take from this?
Krishna: Arjuna, hope Vighnaharta would remove the vighnas under the GST Law.But for this the taxpayers have to gain the knowledge of GST also as Annual return cannot be revised. As lord Ganesha gives the Sweet Prasad to his devotees similarly may he give Sweet Prasad of GST Modak to his taxpayers, in form of annual return to rectify mistakes of FY 2017-18, if any under the GST law. Lets pray to Ganesha, that no Vighnas of technical errors happens of GSTN in this annual return process of filing.