by sanjay gupta
All that
you want to know about GSTR-9 Annual Return in India
Paying taxes
can be quite complicated and tiring for many business people, but when it comes
to GST it is a mandatory process. There is one main return that the GST
registered taxpayers have to file and that is GSTR 9 which is the annual
return.
This
return contains all the information relating to your activities for the year,
matching the information reported in the monthly or quarterly GSTR 1 and
GSTR 3B returns.
It
doesn’t matter if you own a small shop or a big company, it is crucial to
comprehend GSTR 9 to prevent consequences and to work efficiently. Here’s
everything you need to know about GSTR-9, from due date to who is eligible, who
is not eligible, turnover limits and filing process.
What is
GSTR 9?
GSTR 9 is an annual return
which every normal taxpayer who has a GST registration number must file. It is
an aggregate of all the outward and inward supplies, input tax credit claimed
and the total tax paid by the taxpayer in a financial year. It is a closing
statement of all the GST returns for the year and serves as a check to ensure that
all the returns filed during the year are accurate.
Thus, it is important to properly complete GSTR-9 since it is a critical document that complies with chances the of GST a regulation, audit, minimizes and the prevents fines for any differences.
1. Due Date
for Filing GSTR-9
The
due date for filing GSTR-9 is normally 31st December of the year following the
financial year. For example, for the financial year 2023-24, it would fall on
31st December 2024.
From
time to time, however, go through official notifications issued under GST, as
the government at times extends the due date for filing GSTR-9 in favour of
small businesses or for unavoidable reasons.
2.
Applicability: Who Must File GSTR-9?
All
regular GST taxpayers have to file GSTR-9 except those mentioned in the list
below:
Taxpayers of Composition Scheme: If you're registered
under the composition scheme- basically a scheme for small taxpayers, then you
needn't file GSTR-9 but instead will be filing GSTR-9A.
Casual Taxable Persons: Those who are temporarily
registered for GST, such as a business with a temporary setup, do not have to
file GSTR-9. Non-Resident Taxable Persons: These are businesses or individuals
who, though registered under GST, have their residences outside India. TDS/TCS
Deductors: If you are liable to deduct or collect tax at source under GST, you
will not file GSTR-9 but follow other procedures.
Input Service Distributors: These are entities that
distribute input credits to other branches of their business. They would file
GSTR-6 and not GSTR-9.
In
case none of the above-mentioned exceptions applies to you, GSTR-9 would be
necessarily be filed.
3. Turnover
Limit: Who is Exempt from Filing GSTR-9?
The
government has provided a limit on turnover for GSTR-9 filing. Taxpayers with
an aggregate turnover of up to ₹2 crore in a financial year are exempt from
filing GSTR-9. This helps the small businesses to some extent, as they will not
have to spend too much time and energy on such extensive compliance work.
In
cases where the turnover is more than ₹2 crore, GSTR-9 needs to be filed.
4. Structure
of GSTR-9
Form GSTR-9 is broadly divided into various sections, and each of these sections captures specific information from your earlier returns. These include:
Part A: Basic Details: Your GSTIN, legal
name, and trade name.
Part B: Financial Summary: Summary of your
outward supplies, inward supplies, tax liability, ITC claims, and tax payments.
Part C: Reconciliation: Reconciliation of
sales, purchases, and taxes paid in your GSTR-1, GSTR-3B, and books of
accounts.
Part D-Demands and Refunds: This part will
contain any refund or demand which has been raised during the financial year.
Part E-Tax Paid Details: This shall contain a consolidated summary of the tax
paid, including CGST, SGST/UTGST, IGST, and Cess. The form also necessitates an
HSN-wise summary of supplies, giving more detailed insights into the nature of
your transactions throughout the year.
5.
Eligibility to File GSTR-9
As
mentioned, GSTR-9 pertains to most regular taxpayers but not all. Here's a
quick breakdown of eligibility:
Must
for Regular GST Taxpayers: Your business is registered under GST and, on the
other hand, does not fall under the exceptions; one has to file GSTR-9.
Exemptions:
In the case of a taxpayer with a turnover of up to ₹2 crore, he shall not be
required to file such return, though he can do so voluntarily if he wishes.
Taxpayer
Under Composition Scheme: This return shall not apply.
Casual/Non-Resident
Taxpayers: Filing not required.
6.
Important Rules to be Followed While Filing GSTR-9
Accurate
Data: First and foremost, the information in GSTR-9 must be presented
correctly, and it should be presented as it was presented in already filed
monthly/quarterly returns like GSTR-1 and GSTR-3B.
Late
Fees: In case you fail to file on time, the late fee is ₹200 per day, ₹100 each
for CGST and SGST, and can extend up to 0.25% of your turnover. This amount may
add up big time; hence, it is very important to file on time.
Self-Certified Reconciliation: GSTR-9C has to be filed by the taxpayer whose turnover exceeds ₹5 crore and is to be certified by a Chartered Accountant. This is essential for businesses with higher turnovers that need to assure correctness in their reports.
7 salient
features of Annual Return- GSTR-9
GSTR-9
is an annual return that consolidates all the GST transactions related to
outward and inward supplies, taxes paid, and ITC availed and adjustments made
during the financial year.
Mandatory
Filing:
All
regular taxpayers under GST, except for a few categories of registration such
as composition taxpayers, casual taxable persons, non-residents, and TDS/TCS
deductors.
Exemption
Based on Turnover:
Filing
GSTR-9 is not mandatory for taxpayers having an annual turnover of up to ₹2
crore, thus being a relief for small businesses. However, businesses with a
turnover above this threshold must file it compulsorily.
Due Date:
The
due date for filing the annual return for a financial year is usually 31st
December of the following financial year, though the government at times
announces extensions.
Reconciliation
of Data:
GSTR-9 requires reconciliation of data filed in GSTR-1, GSTR-3B, and books of accounts regarding their accuracy; therefore, it becomes very imperative on the part of a business to re-check their returns before filing.
Late Fees and
Penalties:
As
stated earlier, there is a late fee of ₹200 per day (₹100 each for CGST and
SGST) for delay in filing GSTR-9 beyond the due date, but it is subject to
maximum 0.25% of the taxpayer's turnover.
Different
from GSTR-9C:
While GSTR-9 is a summary
return, GSTR-9C is a self-certified reconciliation statement applicable to
taxpayers with a turnover exceeding ₹5 crore. It needs certification from a
Chartered Accountant on the accuracy and compliance thereof.
Conclusion
GSTR-9 might sound daunting,
but it's an integral part of your GST compliance process. Filing it correctly
will keep your business in the good books of the tax administration, avoid
audits, and even assist in claiming accurate input tax credit.
Make
sure to gather all necessary documents, reconcile your data carefully, and file
on time to stay ahead of any compliance issues. For smaller businesses,
remember that the government provides an exemption if your turnover is below ₹2
crore, making things a bit easier.
But
for larger businesses, GSTR-9 becomes an essential task at the end of the
financial year.
Keeping these points in mind, you will go through the filing without much stress or mess.
FAQ:
https://www.etaxind.com/2023/07/mahila-samman-saving-certificate.html
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