GST Annual Return for FY 22-23 is due on 31st Dec 2023

GST has been implemented in India from 1st July 2017.

Barring a few exceptions, all entities having GST registration are required to file GST annual return, irrespective of business activity, sales or profitability during the return filing period.

GST registrants who obtained or held registration anytime during a given financial year are required to file annual return for the said financial year. The annual return is a compilation return which includes all business transactions corresponding to a particular financial year. It consolidates the information furnished by a taxpayer in monthly / quarterly returns filed during the particular financial year.

Persons liable for filing Annual Return: As per Section 44 of CGST Act 2017, every registered person is required to file Annual Return except the following:

(a) An Input Service Distributor;

(b) A person paying tax under Section 51 (i.e., TDS deductor);

(c) A person paying tax under Section 52 (i.e., TCS collector);

(d) A Casual Taxable Person; and

(e) A Non-Residential Taxable Person.

Types of Annual Return

As per Rule 80 of CGST Rules, 2017 following types of Annual Return have been prescribed:

(a) FORM GSTR-9: This annual return is to be filed by all regular taxpayers (i.e., taxpayers who file regular returns in FORM GSTR-3B, GSTR-1, etc.).

(b) FORM GSTR-9A: This annual return is to be filed by all taxpayers who pay tax under Section 10 (i.e. taxpayers who file return in FORM GSTR-4). In other words, annual return in FORM GSTR-9A is to be filed by all composition taxpayers. IT may be noted that FORM GSTR 9A is not required to be filled w.e.f. financial year 2019-20 due to introduction of Annual FORM GSTR4.

(c) FORM GSTR-9B: This annual return is to be filed by all E-commerce operators required to collect tax at source under Section 52 (i.e., taxpayers who file regular returns in FORM GSTR-8).

(d) FORM GSTR-9C: This annual return is to be filed by every registered taxpayer whose Aggregate Annual Turnover during a financial year exceeds Rs 5 Cr. This is a reconciliation statement which is now required to be self-certified by the registered person.

The last date for filing the Annual Return for FY 2022-23 is 31st December 2023.

Levy of late fee: As per Section 47(2) of CGST Act, 2017, any registered person who fails to furnish Annual Return by the due date shall be liable to pay a late fee of Rs.100/- per day subject to maximum of 0.25% of his turnover in the State or Union Territory.

A similar provision exists in respective SGST Acts, also.

Therefore, effectively the late fee for delay in filing Annual Return by the due date is t 200/- per day subject to a maximum of an amount calculated at 0.50% of his turnover in the State or Union Territory

For the financial year 2022-23 onwards– (i) for Registered persons having an aggregate turnover of upto five crore rupees in the relevant financial year, late fee in excess of Twenty-five rupees per day has been waived off, subject to a maximum of an amount calculated at 0. 02percent of turnover in the State or Union territory

(ii) For registered persons having an aggregate turnover of more than five crores rupees and up to twenty crore rupees in the relevant financial year, a late fee of more than 50 rupees per day has been waived off, subject to a maximum of an amount calculated at 0.02percent of turnover in the State or Union territory. It may be noted that an equal amount of late fee is applicable under SGST /UTGST Acts as well.

Annual Returns made optional for small taxpayers:

(a) The filing of annual return in FORM GSTR-9 has been made optional for taxpayers having Aggregate Annual Turnover less than Rs. 2 Cr for the financial years 2017-18, 2018-19, 2019- 20, 2020-21, and 2021-22 further, the registered person whose aggregate turnover in the financial year 2022-23 is upto two crore rupees, have been exempted from filing an annual return for the said financial year;

(b) The filing of annual return in FORM GSTR-9A by composition dealers has been made optional for the financial years 2017-18, 2018-19, 2019-20, 2020-21, 2021-22, and 2022-23;

(c) The threshold of Aggregate Annual Turnover for filing of reconciliation statement in FORM GSTR-9C for the financial year has been increased form Rs. 2 Cr to Rs. 5 Cr.

Details / Format of FORM GSTR-9 (Annual return for regular taxpayers): The Annual Return FORM GSTR-9 has been divided into six parts containing 19 tables. It is mandatory to file all FORM GSTR-1 and FORM GSTR-3B for the financial year for which the return is to be filed for before filing this return.

The structure of FORM GSTR-9 is detailed as given under:

Part II: Details of Outward and Inward supplies made during the year.

Part I: Basic Details

Table 1: Financial Year

Table 2: GSTIN

Table 3A: Legal Name

Table 3B: Trade Name (if any) financial year

Table 4: Details of advances, inward and outward supplies made during the financial year on which tax is payable

Table 5: Details of advances, inward and outward supplies made during the financial year on which tax is NOT payable Part III: Details of ITC for the financial year

Table 6: Details of ITC availed during the financial year

Table 7: Details of ITC reversed and ineligible ITC for the financial year

Table 8: Other ITC related information Part IV: Details of tax paid as declared in returns filed during the financial year 

Table 9: Details of tax paid as declared in returns filed during the financial year Part V: Particulars of the transactions for the financial year declared in returns of the next financial year till the specified period

Table 10: Supplies / tax declared through amendments (+) (net of debit notes)

Table 11: Supplies / tax reduced through amendments (-) (net of credit notes) Part VI: Other Information

Table 12: Reversal of ITC availed during the previous financial year

Table 13: ITC availed for the previous financial year

Table 14: Differential tax paid on account of declaration in table 10 and 11 above

Table 15: Particulars of demands and refunds

Table 16: Information on supplies received from composition taxpayers, deemed supply under Section 143 and goods sent on approval basis

Table 17: HSN wise summary of outward supplies

Table 18: HSN wise summary of inward supplies

Table 19: Late fee payable and paid Note: Towards the end of the return, the taxpayer is given the option to pay any additional liability declared in this form, through FORM DRC-03. The taxpayer has to select “Annual Return” in the drop-down provided in FORM DRC-03.

Details / Format of Form GSTR-9C (Reconciliation Statement):

The reconciliation statement in FORM GSTR-9C has been divided into five parts containing 17 tables.

It is mandatory to file all FORM GSTR-1, FORM GSTR-3B, and FORM GSTR -9 for the current financial year before filing this return. The reconciliation statement is to be filed for every GSTIN separately.

The reference to the current financial year in this statement is the financial year for which the reconciliation statement is being filed.

The structure of FORM GSTR-9C is detailed as given under:

Part I: Basic Details

Table 1: Financial Year

Table 2: GSTIN

Table 3A: Legal Name

Table 3B: Trade Name (if any)

Table 4: Are you liable to audit under any Act?

Part II: Reconciliation of turnover declared in audited Annual Financial Statement with turnover declared in Annual Return (GSTR-9):

Table 5: Reconciliation of gross turnover

Table 6: Reasons for un-reconciled difference in annual gross turnover

Table 7: Reconciliation of taxable turnover

Table 8: Reasons for un-reconciled difference in taxable turnover

Part III: Reconciliation of tax paid

Table 9: Reconciliation of rate-wise liability and the amount payable thereon

Table 10: Reasons for un-reconciled payment of amount

Table 11: Additional amount payable but not paid (due to reasons specified in Tables 6, 8, and 10 above)

Part IV: Reconciliation of Input Tax Credit (ITC)

Table 12: Reconciliation of net Input Tax Credit (ITC)

Table 13: Reasons for un-reconciled difference in ITC

Table 14: Reconciliation of ITC declared in Annual Return (FORM GSTR9) with ITC availed on expenses as per audited Annual Financial Statement or books of accounts

Table 15: Reasons for un-reconciled difference in ITC

Table 16: Tax payable on un-reconciled difference in ITC (due to reasons specified in Tables 13 and 15 above)

Part V: Additional liability due to non-reconciliation

Table 17: Additional liability due to non – reconciliation

Source: https://old.cbic.gov.in/resources//htdocs-cbec/gst/gst-annual-return_nov.pdf