Different types of GST returns are applicable to various businesses based on the nature of their transactions. If you're confused about which GST return form applies to your business, let’s break down the most common types of GST returns.
1. GSTR-1: Details of Outward Supplies
GSTR-1 is a monthly or quarterly return that businesses must file, detailing all outward supplies of goods and services. This return provides information on sales and helps the government track the business’s output tax liability. Filing this correctly is crucial for businesses engaged in consistent transactions.
Who should file it? Every registered dealer, including those with Gst Registration In Chennai, needs to file GSTR-1. The due date for filing depends on the turnover and whether you're filing quarterly or monthly.
2. GSTR-3B: Summary of Outward and Inward Supplies
It includes details of both outward and inward supplies, but only in a summarized form. The GSTR-3B helps to calculate the net tax liability after adjusting for Input Tax Credit (ITC).
Who should file it? This is mandatory for all taxpayers registered under GST, regardless of their turnover. Filing this form correctly ensures you're not penalized by the authorities. Consulting a Gst Tax Consultant In Chennai can simplify the process if you're facing difficulties.
3. GSTR-4: For Composition Dealers
Businesses registered under the composition scheme are required to file GSTR-4 annually. This form helps businesses pay a fixed rate of tax based on their turnover without the need to keep detailed records like in GSTR-1 or GSTR-3B.
Who should file it? Businesses with a turnover below a certain limit that opt for the composition scheme. These businesses include small manufacturers, service providers, and traders who want simpler compliance.
4. GSTR-5: For Non-Resident Taxable Persons
GSTR-5 is specifically for non-resident taxable persons who are temporarily doing business in India. This return contains details of inward and outward supplies, including tax, interest, and penalties.
Who should file it? Anyone who qualifies as a non-resident taxable person must file this return. Since the rules can be tricky, seeking advice from Income Tax Filing Agents In Chennai is a wise choice to ensure smooth compliance.
5. GSTR-6: For Input Service Distributors
GSTR-6 is required to be filed by Input Service Distributors (ISD), detailing all the input tax credits they’ve received and distributed to branches or units.
Who should file it? ISDs that distribute ITC to their branches, including those operating across multiple locations. Filing this return helps maintain proper distribution of input tax credits across the organization.
6. GSTR-7: For Tax Deductors
GSTR-7 is for businesses or organizations that are required to deduct tax at the source (TDS) under GST. It contains details of TDS and the tax that’s deducted.
Who should file it? Government bodies, local authorities, or businesses involved in TDS must file this return monthly.
7. GSTR-9: Annual Return
GSTR-9 is an annual return summarizing all the monthly or quarterly returns filed throughout the year. This is a comprehensive report of the taxpayer’s outward and inward supplies under different tax heads.
Who should file it? All registered taxpayers must file this return. However, composition taxpayers should file GSTR-9A instead.
Conclusion
Filing GST returns can seem overwhelming, but understanding which return applies to your business makes it simpler. Whether it’s GSTR-1 for outward supplies, GSTR-3B for a simplified return, or GSTR-9 for annual filing, every business has specific requirements.
If you're running a business and need assistance with Gst Registration In Chennai, consulting a reliable Gst Tax Consultant In Chennai, or need help from Income Tax Filing Agents In Chennai, Chennai Accounts has got you covered. Additionally, we assist with Import Export Code Registration to help your business stay compliant and grow globally. Reach out to us for all your tax-related needs!
