Key points for filing of GST Annual returns

The Central Board of Indirect tax and Customs (CBIC) has issued the format for the annual returns in consideration with the Goods and Service Tax (GST). The Taxpayers have to file their first GST annual returns with respect to the Financial Year.

The government has introduced different types of annual return based on the various categories of taxpayers. For instance, GSTR-9 for regular taxpayers and GSTR-9A for composition scheme taxpayers have been presented and issued. All the taxpayers registered under GST except the input service distributors, casual taxable persons, non-resident taxable persons and persons liable to deduct tax at source, are only required to file their annual returns. 

As mentioned, are few key points an individual should keep in mind before filing the annual returns: 

1. It is of utmost importance for the figures in the books of accounts and the invoices to match or the GST paid will be incorrect. Along with the invoices, debit and credit notes should also be present in the agreement with the books of accounts. 
2. Stock transfer to be done between the units/branches of the company which should match with the books of accounts to avoid any discrepancy in the stock-in-hand balance of the books and same of the GST data. 
3. Matching of an e-way bill data with the tax invoices issued during the period is also important. The e-way bill data state-wise should be carefully mapped with the invoices to keep track of the goods transported and GST paid thereon. 
4. Taxpayers should assure that all the purchase & other service invoices are issued in the books of accounts and input tax credit has been also availed. Any disparity in between the input tax credit claimed and tax paid on purchases will result in an incorrect claim of ITC in GST returns. 
5. Once the purchase invoices are added in agreement with the books of accounts, the taxpayers should ensure that the purchase data is also duly uploaded by the suppliers; as this data will be reflected in the GSTR-2A form. 
6. Before moving forward for filing the annual returns, the taxpayers should reconcile all the monthly or quarterly GST returns into the books of accounts. The taxable, exempted and non-GST turnover should be carefully matched twice. Any difference should be immediately corrected. 
7. Also, assure that the invoices on which input tax credit has been claimed payment should be made within 180 days to the suppliers. If not, then the credit availed on it will be reversed and the taxpayers shall be liable to pay such an amount along with the interest and penalty if any. 
8. While a reconciliation of the GST paid by electronic cash or by credit ledger, the taxpayers should also account for GST paid under Reverse Charge Mechanism (RCM) on the applicable expenses.