GST News and Updates – April 2021

 

Latest update by CBIC regarding GSTR 1filing for Jan-Mar 2021 under the new QRMP Scheme.

The taxpayers under QRMP have the facility of filing IFF for the first 2 months of a quarter and GSTR 1 for the last month of the quarter. IFF cannot be filed after 13th of the succeeding month as it is an optional facility. The documents saved in IFF cannot be filed if IFF has not been filed by the due date. Hence the taxpayers have to declare such documents in the GSTR 1 for the quarter.

Before filing GSTR 1, the taxpayer must ensure that any saved but not submitted IFF records for the first 2 months of the quarter should be deleted before filing GSTR 1 using the Reset Button. The deleted records must be added to the GSTR1 for the quarter.

Liability in Table-3 [except 3.1(d)] of Form GSTR-3B, for the taxpayers under QRMP Scheme, will be auto-populated on the basis of IFF filed, if any, for the first two months of the quarter and quarterly Form GSTR-1 for the Quarter. Liability on account of inward supplies attracting reverse charge in Table 3.1 (d) is auto-populated from the taxpayer’s FORM GSTR 2B. 

Note: Data in Saved/ Submitted stage in Form GSTR-1 or in IFF, will not be auto-populated as Liability, in Table-3 of Form GSTR 3B

 

Module wise new functionalities deployed on the GST Portal for taxpayers

Various new functionalities are implemented on the GST Portal, from time to time, for GST stakeholders. These functionalities pertain to different modules such as Registration, Returns, Advance Ruling, Payment, Refund and other miscellaneous topics. Various webinars are also conducted as well informational videos prepared on these functionalities and posted on GSTNs dedicated YouTube channel for the benefit of the stakeholders.

 To view module wise functionalities deployed on the GST Portal, refer to table below:

 

Taxpayer functionalities deployed on the GST Portal duringClick link below
March, 2021https://tutorial.gst.gov.in/downloads/news/newfunctionalities_compilationmarch2021.pdf
February, 2021https://tutorial.gst.gov.in/downloads/news/newfunctionalities_compilationfebruary2021.pdf
January, 2021https://tutorial.gst.gov.in/downloads/news/taxpayerfunctionalities_deployed _jan_2021.pdf
October-December, 2020https://tutorial.gst.gov.in/downloads/news/functionalities_released_octtodec2020.pdf

 

Payment of Tax by Taxpayers under QRMP Scheme, for the month of March, 2021

All taxpayers having aggregate turnover up to Rs 5 crores, under QRMP Scheme are required to furnish return on quarterly basis, along with payment of tax on monthly basis.

Payment of Tax for first two months of a quarter (M1 & M2 ie for January and February month for Jan-March Quarter): While generating the challan, taxpayers must select “Monthly payment for quarterly taxpayer” as the reason for generating the challan.They can choose either of the following two options to generate the Challan:

  • 35% Challan (Fixed Sum Method): For taxpayers opting for this method, portal will generate a pre-filled challan in Form GST PMT-06, for an amount equal to 35% of the tax paid in cash, in the preceding quarter, if the return was furnished quarterly or equal to the tax paid in cash in the last month of the immediately preceding quarter, if the return was furnished monthly.
  • Challan on a self-assessment basis (Self-Assessment Method): These taxpayers can pay tax due by considering the tax liability on inward and outward supplies and the input tax credit as available, in FORM GST PMT-06.

Payment of Tax for the third month of a quarter: The aforesaid options are not available for payment of tax for the third month (M3) of the quarter. For the third month of the quarter (M3), taxpayers can click the button ‘Create Challan’ in Payment Table 6 of Form GSTR-3B and file GST-PMT-06 Challan, for depositing any amount towards their tax liability.

 

New features of Form GSTR-2B & GSTR-3B made available to taxpayers under QRMP Scheme

Auto Generation of Form GSTR-2B, for the QRMP taxpayers

  • Form GSTR-2B contains details of filed IFFs (for Month M1 & M2) & filed Form GSTR 1 (for Month M3).
  • Form GSTR 2B has two sections of ITC i.e. ITC available and ITC not available. It also contains tax liability of the taxpayer.
  • The default view of Form GSTR-2B is quarterly. However, to view Form GSTR-2B of a particular month (M1, M2 or M3), a taxpayer has an option to select the appropriate month, from the view drop-down to view that month’s data.
  • A hyperlink ‘View advisory’ has also been provided, which on clicking displays the criteria/ cut-off dates considered for quarterly GSTR-2B as a pop-up, with details of Supplies from/type i.e. Monthly taxpayer, Taxpayer in QRMP Scheme, NRTP, ISD & Import from Overseas/SEZs, and ‘From date’ and ‘To date’ based on which Form GSTR-2B has been generated.

Auto-population of ITC in Form GSTR-3B for the QRMP taxpayers

  • Figures of ITC available and ITC to be reversed will now be auto-populated in Table 4 of Form GSTR-3B, for the QRMP taxpayers, from their system generated quarterly Form GSTR-2B.
  • On the GSTR-3B dashboard page, an additional button ‘System computed GSTR-3B’ has also been provided.
  • A taxpayer can edit the auto-drafted values as per their records and save the updated details.
  • The system will show a warning message to taxpayers in case ITC available is increased by more than 5% or ITC to be reversed is reduced even partially, by them. However, the system will not stop the filing of Form GSTR-3B in such cases.

 

Due dates for filing of Form GSTR-3B from the Tax Period of January, 2021

 

Sl.No.Class of registered persons who have Opted forHaving principal place of business in the State/ UT ofDue date of filing of Form GSTR- 3B, from January, 2021, onwards
1Monthly filing of Form GSTR-3BAll States and UTs20th of the following month
2Quarterly filing of Form GSTR-3BStates of Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana and Andhra Pradesh, the Union territories of Daman and Diu, Dadra and Nagar Haveli, Puducherry, Andaman and Nicobar Islands and Lakshadweep22nd of the month following the quarter
States of Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand and Odisha, the Union territories of Jammu and Kashmir, Ladakh, Chandigarh and Delhi24th of the month following the quarter

 

COVID relief: Govt allows businesses to verify monthly GST returns through EVC till May 31

The government has allowed businesses to verify through electronic verification code monthly GST returns filed till May 31. Corporate taxpayers can now file monthly compliances through EVC till May 31.

In the CGST Notification 07/2021, the Central Board of Indirect Taxes and Customs (CBIC) said any registered person during the period from April 21, 2021, to May 31, 2021, will be allowed to furnish the return in Form GSTR-3B and details of outward supplies in Form GSTR-1 verified through electronic verification code (EVC).

Currently, businesses are required to digitally sign the GSTR-3B form while filing the monthly return and paying taxes. However, with offices shut due to the lockdown, businesses are unable to generate a digital signature that has led to delay in filing returns.