GST Annual Return Filing in India
GSTR-9 is a mandatory annual filing requirement for all taxpayers registered under the Goods and Services Tax (GST) system. This return provides a comprehensive summary of both outward and inward supplies, including transactions made or received during the relevant financial year. It covers supplies under the Central GST (CGST), State GST (SGST), and Integrated GST (IGST) regulations. Essentially, GSTR-9 consolidates all the monthly or quarterly returns submitted throughout the year.
At FilingIn, we specialize in simplifying the GSTR-9 filing process, ensuring that it is submitted before the due date. Understanding that tax-related tasks can often be complex, we strive to make the process smoother by guiding you through each step. With our expertise and user-friendly approach, you can confidently manage your GSTR-9 filings with precision and ease.
What is the GST Annual Return?
The GST Annual Return is a comprehensive report that all businesses must file annually. It provides a summary of their tax activities under the Goods and Services Tax (GST) regime, detailing all sales and purchases made during the financial year, along with the taxes paid on them and other relevant financial information. The GST Return is governed by the provisions of the CGST Act, SGST Act, and IGST Act.
The deadline for filing the annual return is December 31st of each financial year. The primary form for this filing is GSTR-9, which offers a detailed overview of all transactions, including taxes under CGST, SGST, and IGST. For businesses with a turnover exceeding Rs 2 crore, GSTR-9C must also be filed. This additional form serves as an audit reconciliation, ensuring that the financial records align with the data submitted in GSTR-9, ensuring accuracy and compliance.
Types of GST Annual Returns
GSTR-9
Businesses with an annual turnover exceeding Rs 2 crore are required to file the GST annual return using Form GSTR-9. This return consolidates detailed financial information for the entire financial year, including all sales, purchases, and taxes paid.
GSTR-9A
Registered taxpayers who have opted for the GST Composition Scheme must file GSTR-9A. This form is specifically designed for businesses under the composition scheme and addresses their unique filing requirements.
GSTR-9C
Form GSTR-9C is a reconciliation statement that aligns the taxpayer's annual return filed in GSTR-9 with the figures in their audited financial statements for the same financial year. This form is mandatory for businesses whose annual turnover exceeds Rs 2 crore, requiring an audit of their accounts. The preparation and certification of GSTR-9C must be performed by a Chartered Accountant or Cost Accountant.
GST Audit Requirement
GSTR-9C applies to taxpayers with an annual turnover exceeding Rs 2 crore and mandates an audit of their financial statements. Chartered Accountants or Cost Accountants are responsible for certifying the GSTR-9C reconciliation statement
Who is Required to File GST Annual Returns?
Filing of GSTR-9 is mandatory for all GST-registered taxpayers, including:
- Regular Taxpayers: Businesses registered under the standard GST system.
- Composition Scheme Taxpayers: Entities under the Composition Scheme must file GSTR-9A.
- Casual Taxable Persons: Businesses operating on a temporary basis.
- Non-Resident Taxable Persons: Foreign entities conducting taxable business within India.
Ensuring timely compliance with GST annual return filing yields multiple advantages:
- Reclaiming Input Tax Credit (ITC): Filing GSTR-9 in a timely manner enables businesses to reclaim eligible Input Tax Credit, which significantly reduces the net tax liability.
- Mitigating Interest and Penalty Liabilities: Failure to submit the return on time attracts penalties up to Rs. 5,000 and an annualized interest rate of 18% on unpaid tax liabilities.
- Reinforcing Regulatory Compliance: A well-maintained compliance track record shields businesses from regulatory scrutiny, including GST registration cancellations and penal actions.
- Ensuring Financial Reconciliation: The annual return assists in harmonizing a company’s financial records with the GST filings to detect and rectify discrepancies.
- Uninterrupted Business Operations: Adhering to timely filing prevents the suspension of GST registration, safeguarding operational continuity and the ability to claim ITC benefits.
Prerequisites for Filing GST Annual Return
To facilitate the filing of GSTR-9, businesses must have the following documents:
- GST Identification Number (GSTIN)
- Complete Financial Records: Details regarding revenue, expenditures, and taxable transactions.
- Monthly/Quarterly GST Filings: Copies of GSTR-1, GSTR-2A, and GSTR-3B for validation.
- Invoices and Purchase Records: Documentation of all financial transactions.
- Reconciliation Statements: Statements identifying variances between book records and GST returns.
Key Documents for Filing GST Annual Return
- GST Registration Certificate
- GSTR-1, GSTR-2A, and GSTR-3B filings
- Invoices, purchase receipts, and transactional documentation
- Reconciliation statements for accuracy validation
- Comprehensive financial statements (Balance Sheet, P&L Account, Cash Flow Statements)
Here is a step-by-step guide to help you file your GST Annual Return Filing:
Step 1: Log in and Access GSTR-9
Visit the official GST portal and log in using your credentials.
Navigate to the 'Returns Dashboard' and select the 'Annual Return' option.
Step 2: Select the Financial Year
Choose the relevant financial year (2023-2024) from the 'File Annual Returns' page.
Click on 'Prepare Online' after the instructions for filing GSTR-9 (either online or offline) appear.
Step 3: Nil Return
Decide if you want to file a Nil return by selecting 'Yes' or 'No'.
If you select 'Yes', ensure the following conditions are met: no outward supply, no receipt of goods or services, no credit claimed, no refund claimed, no liabilities, no demand order, and no late fees applicable.
If all conditions are met, you can proceed to calculate liabilities and file a Nil GSTR-9.
If 'No' is selected, proceed to the next step.
Step 4: Enter Required Details
On the 'GSTR-9 Annual Return for Normal Taxpayers' page, you will see multiple sections that require specific details.
Download the summary details from all three tabs to help complete various parts of GSTR-9:
- GSTR-9 System Computed Summary
- GSTR-1 Summary
- GSTR-3B Summary
The system will auto-populate data from GSTR-1 and GSTR-3B. If there is a discrepancy of +/- 20%, the affected fields will be highlighted. Confirm the details by clicking 'Yes'.
Step 5: Save Your Data
Go back to the 'GSTR-9 Dashboard' and fill in any remaining required information.
Save the data after entering all necessary details.
Step 6: Preview the Draft GSTR-9
Preview the filled form in either PDF or Excel format by selecting 'Preview GSTR-9 (PDF)' on the GSTR-9 dashboard.
Step 7: Compute Liabilities and Late Fees
Click on 'Compute Liabilities', and the GST portal will calculate any outstanding liabilities and applicable late fees based on the details provided.
Make the payment from your electronic cash ledger. If funds are insufficient, you can make an additional payment via net banking, over the counter, or through NEFT/RTGS by generating a separate payment challan.
Step 8: Final Submission
Select the declaration checkbox.
Choose the authorized signatory.
You will be presented with two filing options:
- File with DSC: Select and upload your Digital Signature Certificate (DSC) to sign and submit the return.
- File with EVC: An OTP will be sent to the registered email and mobile number. After successful OTP validation, the return status will update to 'Filed'.
With these steps, your GSTR-9 filing will be complete.
Compliance and Audit Considerations
- Mandatory Filing: GSTR-9 is compulsory for all registered taxpayers.
- Audit Requirement: Businesses exceeding 2 crore in turnover must submit GSTR-9C, certified by a Chartered Accountant (CA).
- Timely Submission: Filing must be completed by December 31st to avoid penalties.
- Accurate Tax Reporting: Figures should align with GSTR-1, GSTR-3B, and financial books.
- Reconciliation Obligations: Ensure GSTR-9 reconciles with the Balance Sheet and Profit & Loss Statement.
- Retention of Records: Maintain GST records for six years to comply with legal requirements.
Ensuring Seamless GST Annual Return Filing
To facilitate hassle-free compliance, businesses may seek expert assistance to navigate the complexities of GST return filing. Professional guidance ensures:
- Accurate Tax Filing: Minimized errors and compliance risks.
- Timely Submission: Avoidance of interest and penalties.
- Ongoing Compliance Support: Expert consultation on evolving GST regulations.
- Hassle-Free Process: End-to-end management of documentation and filing.
By maintaining diligent compliance with GST annual return requirements, businesses can enhance their financial credibility, sustain operational efficiency, and mitigate legal repercussions
Filing tax returns can often seem complex, but FilingIn is here to simplify the process. We offer comprehensive support to ensure your GSTR-9 form filing is seamless and stress-free:
Expert Guidance
Our team of experienced tax professionals is well-versed in GST regulations. We provide step-by-step guidance through the GSTR-9 form, ensuring accurate filing before the due date.
Data Verification
We thoroughly verify your data before submission to minimize the risk of errors that could lead to penalties or complications.
Timely Reminders
Our system sends timely reminders to keep you on track with key deadlines, ensuring you avoid any late filing penalties.
Support at Every Step
If you have any questions or need clarification on any part of the process, our customer support team is readily available to assist you, offering expert advice and guidance.
Comprehensive Services
Our services go beyond form-filling. We assist with data compilation, calculations, and ensuring all required information is properly included.
With FilingIn as your trusted partner, you can confidently file your GSTR-9 return on time, knowing that our team is here to support you throughout the entire process.
Frequently Asked Questions in India
When is the GST Annual Return Due?
The GST Annual Return (GSTR-9) must be filed by December 31st of the following fiscal year.
Who is Required to File the GST Annual Return?
All registered GST taxpayers, except for Input Service Distributors, TDS deductors, and Casual/Non-Resident taxpayers, are required to file the GST Annual Return.
What is the Format of the GST Annual Return?
The GST Annual Return (GSTR-9) includes details on input tax credits, tax invoices, and transactions with both domestic and international suppliers. The format for the return is determined by the Central Board of Indirect Taxes and Customs (CBIC).
How Can I Submit My GST Annual Return?
The GST Annual Return (GSTR-9) must be filed electronically via the GST portal, following the approved format for paperless submission.
Can I Make Changes to the GST Annual Return After Filing?
Once the GST Annual Return (GSTR-9) is filed, it cannot be amended. Any corrections or adjustments must be made in the following year’s return, as the submitted return is considered final.
What is the Purpose of the GST Annual Return?
The purpose of the GST Annual Return (GSTR-9) is to provide a complete overview of a taxpayer’s financial activities and tax liabilities for the financial year.
What Role Does the GST Audit Play in Filing the GST Annual Return?
To reconcile your books of accounts with the GST Annual Return (GSTR-9), ensure that the information provided in the return matches the records in your books, ensuring consistency.
What happens to my input tax credit after cancellation?
Filing the GST Annual Return is separate from the GST audit. The GST audit involves reviewing the taxpayer’s accounts to verify their accuracy and ensure compliance with GST regulations.
Can I File the GST Annual Return Directly?
No, the GST Annual Return (GSTR-9) must be filed online via the official GST portal. Direct filing is not permitted.
