The finance ministry has notified annual tax return kinds for companies registered below the GST, during which particulars of gross sales, purchases and enter tax credit score (ITC) advantages accrued to them throughout 2017-18 fiscal need to be supplied in a consolidated method.
The final date for submitting the annual return kind for regular taxpayers (GSTR-9) and for composition taxpayers (GSTR-9A) is 31 December. The Items and Providers Tax (GST), which subsumed 17 totally different oblique taxes, was rolled out on 1 July, 2017.
“Annual tax return is consolidation of the month-to-month returns being filed by assesses and it’ll fully expose the monetary transactions earlier than the income division. (Within the kinds) there can be no scope to assert extreme enter credit score,” V Lakshmikumaran, Managing Accomplice, Lakshmikumaran & Sridharan, a regulation agency.
He additional mentioned the income division can have voluminous knowledge of commerce and business and it could be simpler for the division to search out out discrepancies with regard to enter tax credit score claims and the ultimate tax paid.
The information, Lakshmikumaran added might be simply matched through the use of clever software program to catch defaulting assessees “red-handed” because the scope for aberrations has been considerably decreased.
The annual return kind for regular taxpayers has been divided into six elements with 19 tables which incorporates detailed info associated to outward provides, inward provides, ITC availed, ITC reversed, ineligible ITC, particulars of demand and refund, HSN abstract of outward provides and HSN abstract of inward provides of the transactions declared in returns filed in the course of the monetary 12 months ending March 2018.
Commenting on the annual returns kind, AMRG & Associates Accomplice Rajat Mohan regretted that the income division has not consulted stakeholders earlier than popping out with the shape.
“This annual return appears to be cramped up with too many particulars which incorporates outward provides, inward provides, taxes, credit, calls for, refunds, HSN summaries for the complete monetary 12 months in just a few pages solely, that is anticipated to breed confusion amongst taxpayers particularly MSME sector,” Mohan mentioned.
EY Tax Accomplice Abhishek Jain opined that “companies could must put in further efforts for some reportings; like reconciliation of GSTR-2A, buy register and GSTR-3B; and computing provides obtained from composition sellers”.
Taxmann DGM GST Shubham Mittal mentioned “it is going to give a chance to the division to reconcile the small print furnished in GST return with the small print furnished in different returns and audited monetary statements and curb the tax evasion”.
Additionally info with regard to transactions associated to monetary 12 months ending March 31, 2018 declared in return of April to September is required to be declared within the annual return.
Whereas Half I of the shape offers with fundamental info of the enterprise, the small print of all of the provides declared by the taxpayer within the returns filed in the course of the monetary 12 months need to be stuffed in Half II of the return kind in a consolidated method.
Half III consists of the small print of all enter tax credit score availed and reversed within the monetary 12 months for which the annual return is filed.
Half IV is the precise tax paid in the course of the monetary 12 months.
Half V consists of particulars of transactions for the earlier monetary 12 months however declared within the returns of April to September of present FY or date of submitting of Annual Return for earlier monetary 12 months (for instance within the annual return for the FY 2017-18, the transactions declared in April to September 2018 for the FY 2017-18 shall be declared), whichever is earlier.