The taxpayers who are GST registered are called to follow certain return procedures. It is done so that the GST returns are filed easily and can enjoy the ITC – Input Tax Credit benefits. A regular GST taxpayer is needed to file one annual return and two monthly returns.
A lot of activities are involved in the return process under the GST. It includes.
- Electronically filing the various kinds of GST returns.
- The details of all invoices to be uploaded.
- The details of auto-population in terms of the input tax credit from the returns that are filed by the suppliers to file returned by recipients.
- Invoice information matching.
- ITC automatic reversal in case of invoice information mismatch.
There is a special place for registered taxpayers who are required to file separate returns. They are the,
- Taxable persons who are non-resident
- Those who come under the composition scheme
- Those who have been allotted UIN – Unique Identification Number
- Distributors of input service
- Those who are required to collect TCS, deduct TDS under the GST
So what is exactly GST return? Well, in simple terms, every GST registered person is required to provide a return electronically every month of the calendar year. A document that shows the registered taxpayer’s income is the Tax Return. These kinds of documents must be filed by the tax authorities so that they can pay the tax to the government. Depending upon the person’s income, the taxpayer will file a tax return to the tax authorities.
Following the procedure of the GST return file, the various kinds of GST return demand the taxpayer to reveal the succeeding details.
- Inward supplies – purchase
- Outward Supplies – sales
- Output GST
- Input GST
- Other particulars that have been directed in the document.
Types of GST Returns
- GSTR – 1: Return for Outward Supplies
It is a return that has to be filed monthly for the outward supplies. It is managed by a regular GST registered taxpayer. In simple terms, it is the monthly return that shows the business sales transactions of a particular month.
Who needs to file GSTR-1: Every registered GST taxpayer. It should show the details of debit notes, invoices, revised invoices, and credit notes.
- GSTR – 2: Return For Inward Supplies
It contains the purchase details of services and goods by the recipient. The information is auto-populated with the GSTR-2A details.
Who needs to file for GSTR-2: Every registered GST taxpayer must file and provide details of purchases or inward supplies for every month.
- GSTR – 2A: Read-Only Documents
It is just a document which is read only that gets auto-populated after the GSTR-1 details are uploaded by the supplier.
Who needs to file form GSTR-2A: It is available for every GST registered taxpayer.
- GSTR – 3B: Summary of Outward and Inward Supplies
It is a return summary of every month of the outward and the inward supplies. It acts as a self-declaration form of the GST taxpayers.
Who needs to file form GSTR-3B: Every registered GST taxpayer.
- GSTR – 4: Return for Composition Dealers
It is a quarterly return that has to be filed by the registered GST taxpayer who has opted for the Composition Scheme.
Who needs to file for the GSTR-4: Those who opt for Composition Scheme must file for GSTR-4.
- GSTR – 5: Return for Non-Resident Taxable Persons
It is a return file that is required to be filed by the non-resident taxable person on a monthly basis. It must include the following details.
- Outward supplies
- Inward supplies
- Any penalty, interest, fees
- Tax paid or tax payable
- Any amount that needs to pay under the tax act.
Who needs to file for GSTR-5: A non-resident GST registered taxable person must file on monthly returns.
- GSTR – 6: Return for Input Service Distributors
It is a monthly return for the Input Service Distributors that need to be filed every month. It provides all the invoices information in which the credit had been received and is issued by the ISD. It is a read-only and auto-drafted form. It has the details of credit and debit notes that had been received at the time of tax period.
- GSTR – 7: Return for Taxpayers Deducting TDS
It is for the GST deductors who are needed to deduct TDS. It must contain the following details.
- Tax deducted source
- TDS liability
- TDS Refund if claimed any
- Late fees, interest, etc that are paid or payable.
These are a few of the GST Tax Returns that are supposed to be filed by the GST taxpayers.