GST

Return Filing
Even if there is Nil sales or no supply of services the return is required to be filed by every registered person.

A registered entity has to file either monthly or quarterly GST returns alongwith annual return depending upon their type of registration.  Some of the commonly filed GST returns are –

• GSTR – 3B
• GSTR – 1
• GSTR CMP – 08
• GSTR – 04
• GSTR – 9
• GSTR – 9A
• GSTR – 9C
• GSTR – 10

Timely filing of GST returns is very important because failing to file GST return on or before due date attracts the liability of interest and penalty.

There are many GST returns and each one has different due date. Our team of GST experts ensures the filing of your GST returns accurately and always on time.

Refund Filing

There are many situations where a person may claim the refund of GST paid. The GST refund claims are filed online within two years from the relevant date.

A person is entitled to claim refund of GST paid in following situations:

• Refund of Export/Supply to SEZ unit/Deemed Exports on payment of IGST
• Refund of unutilized Input Tax Credit in case of Export/Supply to SEZ unit without payment of IGST
• Refund of unutilized Input Tax Credit in case where the rate of GST on outward supplies is lower than the rate of GST on inward supplies (inverted duty structure)
• Refund of any balance in electronic cash ledger.
• Refund of tax wrongly collected and paid to the government.
• Refund of IGST paid by any foreign tourist/NRI leaving India on any supply of goods taken out of India by him/her.
• Refund due to any judgment, decree, order or direction of Appellate Authority, Appellate Tribunal or any court.
• Refund on purchases made by UN bodies or Embassies etc.

Be careful while filing the refunds:

Inaccuracy or delay in filing the refunds may lead to rejection of refund. Our team of GST experts ensures the timely filing of refund claims accurately so that you may get the refunds at the earliest without blocking your working capital.

LUT Filing

The Letter of Undertaking (LUT) is to be furnished when any person wishes to export the goods and/or services without payment of IGST. Only one LUT is required to be filed for entire financial year.

LUT is filed in GST RFD-11 form, online on GSTN common portal before exporting goods or services.

We at AAP Consulting Private Limited can help you with GST LUT filing.

Every registered person is eligible to file LUT, except those who have been prosecuted for any offence involving the amount of tax evasion of Rs. 2.5 Crores or more.

Filing of LUT is hassle free, fast and avoids blockage of working capital, making it a lucrative option for exporters. However; depending upon the type of business activity undertaken export of payment of IGST and following refund route may be more beneficial

Want to know whether you should export against LUT or on payment of IGST and take refunds?

GST annual return is to be filed by all registered taxpayers under GST except a handful. It is an annual compilation of all outward supplies, inward supplies, tax liability and input tax credit availed during a financial year. It is due to be filed by 31 December of the year following the particular financial year.

GST Annual Returns

• GSTR – 9
• GSTR – 9A

Accurate as well as timely filing of GST Annual return is of utmost importance because there is no options available to revise/rectify the Annual return once filed, also delay in filing the GST return leads to payment of late fee.

We at AAP Consulting Private Limited can help you file the Annual Return with accuracy in time.

GST Audit

Every registered person under GST whose turnover is more than specified limit in a financial year, is required to get the Accounts Audited by a Chartered Accountant or Cost Accountant under GST Act. Also, a reconciliation statement in Form GSTR 9C duly certified by a Chartered Accountant or Cost Accountant is to be filed along with the Audited Annual Accounts on or before the Due date.  Late fling of GSTR 9C attracts penalty under GST Act.

GST Registration Cancellation

Any registered person under GST (not covered under section 24 – mandatory registration) may apply for the cancellation of registration in following situations-

• Discontinuance or closure of a business.
• Transfer of business, amalgamation, merger, de-merger, lease or other pertinent reasons.
• Change in the constitution of business, which results in a change of PAN.
• Turnover reduces below the threshold limit for GST registration.
• Death of the sole proprietor.
• Any other reason, the likes of which must be proved in the application.

Before applying for GST registration cancellation, the taxpayer must file all the GST returns up to date and clear all the overdue GST liabilities. An application for GST cancellation should be made in Form GST REG-16 on the common GST portal.

After the cancellation of registration, a final GST Return is required to be filed in Form GSTR-10 within three months from the date of cancellation or the date of order of cancellation, whichever is later. This is done to ensure that the taxpayer is devoid of all the GST liabilities.

It is a common practice that after obtaining GST registration, if there is no business activity, the taxpayer stops filing GST returns and lets the GST registration to be cancelled by the GST department; due to gross negligence of it’s consequences. The taxpayer must get the GST registration cancelled as per the process laid out above otherwise such person would not be eligible to obtain another GST registration under the same PAN.

Also, in case a GST registration gets cancelled by the Government due to non-compliance, the taxable person would first have to apply for revocation of GST registration cancellation by paying all the late fees and after restoration – cancel the GST properly or continue filing GST returns. Hence, once a GST registration is obtained, it is vital for the taxpayer to monitor compliance, and in case of no business activity, file for cancellation of GST registration at the earliest.

Revocation of GST Registration cancellation

In GST regime the proper officer has the powers to cancel the GST registration of any person suo moto from a particular date (including retrospective date) in cases where

• A registered person has contravened any provision of the GST Acts or Rules made thereunder.
• A person paying tax under section 10 of the Act (Composition Scheme) hasn’t filed the return for the three consecutive tax period.
• Any registered person (apart from the Composition Scheme tax payer) hasn’t filed the return for a continuous period of six months.
• Any person who has taken voluntary registration under section 25(3) of the Act but hasn’t commenced business within six months from the date of registration.
• Registration has been obtained by fraud, or willful misstatement or suppression of facts etc.

The proper officer sends a Show Cause Notice to such person before suo-moto cancelling the registration. Such notice is required to be replied within 7 days. If the reply is found to be satisfactory, the proper officer will drop the proceedings and pass an order in FORM GST REG –20. However, if the registration is liable to be cancelled, the proper officer will issue an order in FORM GST REG-19.

When the registration has been cancelled by the Proper Officer on his own motion, then the registered person, whose registration has been cancelled, has the option submit an application for revocation of cancellation of registration, in FORM GST REG-21, to the Proper Officer within a period of thirty days from the date of the service of the order of cancellation of registration.

Reply to the GST notices

GST department has the power is issue notices time to time. These notices may be issued in respect of – enquiry, mismatch of ITC, Non-filing of returns, other non-compliances or a Show Cause Notice demanding tax and/or penalty under section 73 or 74 of the Act.

Every notice has a prescribed time limit for filing the reply. These notices are required to be handled very carefully because non filing of reply or inefficient reply of the GST notices may result into serious consequences such as – cancellation of registration, confirmation of tax demand, imposition of penalties etc.

We at AAP Consulting Private Limited have a network of experts having in depth legal knowledge and vast experience of handling department’s notices.

GST Appeals

A person aggrieved by any decision or order passed under GST by an adjudicating authority can appeal to the prescribed Appellate Authority. 

Further on being aggrieved with the decision of the First Appellate Authority  the appeal may be filed before  Appellate Tribunal, then to  Hon’ble High Court and finally before the Hon’ble Supreme Court.

Even the department may file appeal before the above-mentioned authorities, when the order is passed in favour of assessee; in such scenario, the taxpayer has to defend the Appeal in the capacity of respondent.

Day to Day Assistances

GST, though claimed to be the “Good and Simple Tax”, is full of complexities. Since enforcement, this law has been undergoing numerous amendments making it very difficult for taxpayers to focus on their hardcore business activity. In our day to day business we encounter many queries related to

• Generation of tax invoice ie. whether to charge CGST+SGST or IGST, rate of tax etc.
• Generation of E-way Bill
• Queries related to admissibility of Input Tax Credit
• Treatment of sales returns/purchase returns
• Rectification/solution of clerical errors
• GSTIN Verification

Contact the expert team at AAP Consulting Private Limited to find the appropriate resolution for your day to day GST queries.

GST, though claimed to be the “Good and Simple Tax”, is full of complexities. Since enforcement, this law has been undergoing numerous amendments making it very difficult for taxpayers to focus on their hardcore business activity. In our day to day business we encounter many queries related to

• Generation of tax invoice ie. whether to charge CGST+SGST or IGST, rate of tax etc.
• Generation of E-way Bill
• Queries related to admissibility of Input Tax Credit
• Treatment of sales returns/purchase returns
• Rectification/solution of clerical errors
• GSTIN Verification