Assessment and

Returns
Unit 4
Furnishing details of outward supplies and
inward supplies, First return, Claim of input
tax credit, Matching
reversal and reclaim of input tax credit,
Annual return and Final return. Problems on
Assessment of tax and tax
liability.
Meaning -‘Assessment’ under GST
• Under GST, the term “assessment” means a determination of
tax liability under this Act and includes self-assessment, re-
assessment, provisional assessment, summary assessment,
and best judgment assessment.
• Normally, persons having GST registration file GST returns and
pay GST every month based on self-assessment of GST
liability.
• Government at all times has the right to re-assess or perform
an assessment by itself and determine if there is a short
payment of GST
Types of Assessment under GST
Self-Assessment
• Every registered taxable person shall himself assess the taxes
payable and furnish a return for each tax period specified
under Section 39.
• This means GST continued to promote self-assessment just
like the Excise, VAT and Service Tax under current tax regime.
Provisional Assessment
An assessee can request the officer for provisional assessment if
he is unable to determine value or rate.
• Unable to determine value due to difficulty in –
– Calculating the transaction value
– Understanding whether certain receipts should be included or not

• Unable to determine rate of tax due to difficulty in –

– Classifying the goods/services
– Identifying whether any notification is applicable or not
Provisions of Provisional
Assessment
• Requests for provisional assessments will be given in writing
• The proper officer can allow paying tax on provisional basis at
a rate or on a value specified by him.
• Order will be passed within 90 days from date of request.
• The taxable person has to issue a bond with a security
promising to pay the difference between provisionally
assessed tax and final assessed tax.
• Provisional assessments will be followed by final assessments.
The proper officer can ask for information before final
assessment.
 Time Limit for Final Assessments
• The final assessment will be done within 6 months of the provisional
assessment. This can be extended for 6 months by the Joint/Additional
Commissioner. However, the Commissioner can extend it for further 4 years
as he seems fit.
Interest on Additional Tax Payable and Refunds
• The tax payer will have to pay interest on any tax payable under provisional
assessment which was not paid within the due date. Interest period will be
calculated from the day when tax was first due on the goods/services (and
not the date of provisional assessment) till the actual payment date,
irrespective of payment being before or after final assessment. Rate of
interest will be maximum 18%.
• If the tax as per final assessment is less than provisional assessment then the
taxable person will get a refund. He will also get interest on refund.
• Rate of interest will be maximum 6%.
Scrutiny of returns
• The proper officer can scrutinize the return to verify its correctness.
It is a non-compulsory pre-adjudication process.
• In simple words, it is not mandatory for the officer to scrutinize
return. Scrutiny of returns is not a legal or judicial proceeding., no
order can be passed.
• The officer will ask for explanations on discrepancies noticed
• When Explanation is Satisfactory – No Further action will be taken
• When Explanation is not Satisfactory - The proper officer will take
action if the taxable person does not give a satisfactory explanation
within 30 days Or He does not rectify the discrepancies within a
reasonable time (not yet prescribed)
Best Judgement Assessment under
GST
• In the best judgment assessment, an assessing officer assesses based on his reasoning
and using the information available. The assessment will be made without having any
bias.

• Under GST, best judgement assessment becomes applicable in 2 situations-

– When a taxable person has not filed a return
– When a person has not registered for GST even though he is liable to

• If the registered taxable person does not file his return (even with a notice) he will be sent
a notice u/s 62. If he does not file return, the proper officer will assess the tax liability to
the best of his judgement. He will assess on the basis of the available information.

• Notice of being heard may not be given (different from service tax law).

• The assessment order will be issued within 5 years from the due date of the annual return

• If the taxable person files a valid return within 30 days from the above assessment order,
then the best judgement assessment order will be withdrawn. Valid return includes return
along with payment of all due taxes.
Summary Assessment
• This is done when the assessing officer has sufficient grounds to
believe any delay in assessing a tax liability can harm the
interest of the revenue.
• To protect the interest of the revenue, he can pass the summary
assessment on the basis of evidence of tax liability. The prior
permission of Additional/Joint commissioner is required.
• Summary assessment is usually done in cases of defaulting or
absconding taxpayers
• The taxpayer can apply within 30 days from the date of receipt
of order. If he proves to the Additional/Joint Commissioner that
the order was wrongly passed, then the order will be cancelled.
 Returns under GST
• The term “return” ordinarily means statement of information (facts) furnished by the
taxpayer, to tax administrators, at regular intervals

• Under any taxation system filing of return is the most important compliance
procedure which enables the tax administrators to estimate tax collection for a
particular period and determine the correctness and completeness of tax
compliances at taxpayer's level.

• The basic feature of return filing system in GST includes electronic filing of return

• Uploading of invoice level information and auto-populated information relating to

input tax credit from return of supplier to that recipient, invoice-level information
matching and auto reversal of ITC in case of mismatch.

• Section 37 to 48 of CGST Act read along with CGST rules prescribe the provisions
relating to filing of return under GST. Same provision is applicable under IGST Act by
virtue of section 20.

• From 1st January 2022, taxpayers cannot file GSTR-1 if the previous period’s GSTR-
3B was not filed.
 Furnishing details of outward supplies –
Section 37
(1)Every registered taxable person, other than an input service distributor and a person
paying tax under the provisions of section 8 or section 37, shall furnish, electronically, in
such form and manner as may be prescribed, the details of outward supplies of goods
and/or services effected, during a tax period on or before the tenth day of the month
succeeding the said tax period and such details shall be communicated to the recipient
of the said supplies within the time and in the manner as may be prescribed:
Provided that the registered person shall not be allowed to furnish the details of
outward supplies during the period from the eleventh day to the fifteenth day of the
month succeeding the tax period:
Provided further that the Commissioner may, for reasons to be recorded in writing, by
notification, extend the time limit for furnishing such details for such class of taxable
persons as may be specified therein:
Provided also that any extension of time limit notified by the Commissioner of State tax
or Commissioner of Union territory tax shall be deemed to be notified by the
Commissioner.
Furnishing details of outward
supplies – Section 37
(2) Every registered person who has been communicated the details under sub-
section (3) of section 38 or the details pertaining to inward supplies of Input Service
Distributor under sub-section (4) of section 38, shall either accept or reject the
details so communicated, on or before the seventeenth day, but not before the
fifteenth day, of the month succeeding the tax period and the details furnished by
him under sub-section (1) shall stand amended accordingly.
(3) Any registered person, who has furnished the details under sub-section (1) for
any tax period and which have remained unmatched under section 42 or section
43, shall, upon discovery of any error or omission therein, rectify such error or
omission in such manner as may be prescribed, and shall pay the tax and interest,
if any, in case there is a short payment of tax on account of such error or omission,
in the return to be furnished for such tax period;
Provided that no rectification of error or omission in respect of the details furnished
under sub-section (1) shall be allowed after furnishing of the return under section
39 for the month of September following the end of the financial year to which such
details pertain, or furnishing of the relevant annual return, whichever is earlier.
FURNISHING DETAILS OF OUTWARD
SUPPLIES [SECTION 37 READ WITH RULE 59 OF THE CGST
RULES]
(i) Who is required to furnish the details of
outward supplies?
A return of Outward supplies in terms of this section
should be furnished by every registered taxable person
except for the following persons namely,
— Input service distributor
— A non-resident taxable person
— A person paying tax under the provisions of section
10 (composition levy)
— A person paying tax under the provisions of section
51 (TDS)
— A person remitting tax collected under the provisions
of section 52 (TCS)
— A person referred to in Section 14 of IGST Act – Person
providing Online Information and Data Access &
 FURNISHING DETAILS OF OUTWARD
SUPPLIES [SECTION 37 READ WITH RULE 59 OF THE CGST
RULES]

ii. What is the form for submission of details of outward supplies? [Section
37(1)]

The details of outward supplies are required to be furnished, electronically, in Form GSTR-
1. Such details can be furnished through the common portal, either directly or from a
notified Facilitation Centre.

iii. What is the due date of submission of GSTR-1? [Section 37(1)]

GSTR-1 for a particular month is filed on or before the 11th day of the immediately succeeding
month.

In other words, GSTR-1 of a month can be filed any time between 1st and 11th day of the
succeeding month. It may be noted that GSTR-1 cannot be filed during the period from 12th
day to 15th day of month succeeding the tax period.

Small taxpayers having aggregate annual turnover of less than Rs 5 crore will be able to file returns on
a quarterly basis with monthly payments from January 1, 2021

The due date of filing GSTR-1 may be extended by the Commissioner/Commissioner of State
FURNISHING DETAILS OF OUTWARD SUPPLIES

(iv) What are the contents of GSTR-1?

GST is a destination-based
consumption tax, hence
the tax revenue is
transferred to the State
which is the place of supply
of the particular transaction.
Since, the place of supply is
crucial for determining the
share of every State in the
tax revenue, GSTR-1 also
captures information
relating to place of
supply.
FURNISHING DETAILS OF OUTWARD
SUPPLIES
(v) What kind of details of outward supplies are required to be
furnished in GSTR-1?

The registered person is required to furnish details of invoices and revised

invoices issued in relation to supplies made by him to registered and
unregistered persons during a month and debit notes and credit notes in
GSTR-1 in the following manner:

It can be seen from the table that

uploading of invoices depends on
whether the supply is B2B or B2C
plus whether the supply is
intra-State or inter-State.
The provisions relating to uploading of invoices are
explained by way of a diagram given below:

• Invoices can be
uploaded at any time
during the tax period
and not just at the
time of filing of
GSTR-1.
• Invoices can be
modified/deleted any
number of times till
the submission of
GSTR-1 of a tax
period. The uploaded
invoice details are in
a draft version till
the GSTR-1 is
submitted and can
be changed
FURNISHING DETAILS OF
OUTWARD SUPPLIES
(vi) Communication of details of GSTR-1 to the recipient of supply
[Section 37(2) read with sub-rules (3) and (4) of rule 59 of the CGST
Rules]

The details of outward supplies for a month furnished by the supplier are
communicated and made available electronically (auto populated) to the
respective recipient(s) in Part A of Form GSTR- 2A/ Form GSTR-4A (in case of
registered person opting for composition levy/Notification No. 2/2019 CT(R)
dated 07.032019) through the common portal after the 10th day of the
succeeding month (due date of filing of GSTR-1).
FURNISHING DETAILS OF
OUTWARD SUPPLIES
(vii) How are the details of outward supply furnished in prior periods amended?
[Section 37(3)]

(a) Scope of amendment/ correction entries

Tables 9, 10 and 11(II) of GSTR-1 provide for amendments in details of taxable outward
supplies furnished in earlier periods (hereinafter referred to as “Amendment Table”). The
details of original debit notes/credit notes / refund vouchers issued by the tax-payer in the
current tax period as also the revision in the debit notes/ credit notes / refund vouchers
issued in the earlier tax periods are required to be shown in Table 9 of the GSTR-1.

Ordinarily, in Amendment Table, the suppler is required to give details of original invoice
(No and Date), the particulars of which have been wrongly entered in GSTR-1 of the earlier
months and are now sought to be amended. However, it may happen that, a supplier
altogether forgets to include the entire original invoice while furnishing the GSTR-1 for a
particular month.

In such cases also, he would be required to show the details of the said missing invoice
which was issued in earlier month in the Amendment Table only, as such type of errors
would also be regarded as data entry error.
 FURNISHING DETAILS OF OUTWARD
SUPPLIES
(b) Rectification of errors

If the supplier discovers any error or omission, he shall rectify the same in the tax period
during which such error or omission is noticed, and pay the tax and interest, if any, in case
there is short payment, in the return to be furnished for such tax period.

For Example- A supplier discovers a mistake in details of the invoice furnished in GSTR-1 for
the month of June, in August. He can rectify the said mistake in the GSTR-1 for the month of
August.

(c) Time limit for rectification

Suppose for some reason, supplier could not make correction at the time of filing of GSTR-1 for
the month of August then he can make such amendments in the subsequent periods.

However, the maximum time limit within which such amendments are permissible is earlier of
the following dates:
– Date of filing of monthly return u/s 39 for the month of September following the end of the financial year
to which such details pertain or
– Date of filing of the relevant annual return
Note

✪ GSTR 1 needs to be filed even if there is no business activity

(Nil Return) in the tax period.
✪ Taxpayer opting for voluntary cancellation of GSTIN has to file
GSTR-1 for active period.
✪ In cases where a taxpayer has been converted from a normal
taxpayer to composition taxpayer, GSTR-1 will be available for
filing only for the period during which the taxpayer was
registered as normal taxpayer. The GSTR-1 for the said period,
even if filed with delay would accept invoices for the period
prior to conversion.
Section 38-Furnishing details of
inward supplies
(1) Every registered person, other than an Input Service
Distributor or a non-resident taxable person or a person paying
tax under the provisions of section 10, section 51 or section 52,
shall verify, validate, modify or delete, if required, the details
relating to outward supplies and credit or debit notes
communicated under sub-section (1) of section 37 to prepare
the details of his inward supplies and credit or debit notes and
may include therein, the details of inward supplies and credit or
debit notes received by him in respect of such supplies that
have not been declared by the supplier under sub-section (1) of
section 37.
Section 38-Furnishing details of
inward supplies
(2) Every registered person, other than an Input Service Distributor or a non-
resident taxable person or a person paying tax under the provisions of section 10
or section 51 or section 52, shall furnish, electronically, the details of inward
supplies of taxable goods or services or both, including inward supplies of goods
or services or both on which the tax is payable on reverse charge basis under this
Act and inward supplies of goods or services or both taxable under the Integrated
Goods and Services Tax Act or on which integrated goods and services tax is
payable under section 3 of the Customs Tariff Act, 1975, and credit or debit notes
received in respect of such supplies during a tax period after the tenth day but on
or before the fifteenth day of the month succeeding the tax period in such FORM
and manner as may be prescribed:

Provided that the Commissioner may, for reasons to be recorded in writing, by

notification, extend the time limit for furnishing such details for such class of
taxable persons as may be specified therein.
Section 38-Furnishing details of
inward supplies
(3) The details of supplies modified, deleted or included by the
recipient and furnished under sub-section (2) shall be
communicated to the supplier concerned in such manner and
within such time as may be prescribed.

(4) The details of supplies modified, deleted or included by the

recipient in the return furnished under sub-section (2) or sub-
section (4) of section 39 shall be communicated to the supplier
concerned in such manner and within such time as may be
prescribed.
Section 38-Furnishing details of
inward supplies
(5) Any registered person, who has furnished the details under sub-section
(2) for any tax period and which have remained unmatched under section
42 or section 43, shall, upon discovery of any error or omission therein,
rectify such error or omission in the tax period during which such error or
omission is noticed in such manner as may be prescribed, and shall pay the
tax and interest, if any, in case there is a short payment of tax on account
of such error or omission, in the return to be furnished for such tax period:

(6) Provided that no rectification of error or omission in respect of the

details furnished under sub-section (2) shall be allowed after furnishing of
the return under section 39 for the month of September following the end
of the financial year to which such details pertain, or furnishing of the
relevant annual return, whichever is earlier.
Analysis – Section 38
1. Recipient of supply is required to match his inward supply details with that of
the details uploaded by the supplier by way of furnishing Form GSTR 1.
2. The details uploaded by the supplier will be made available to the recipient in
Part ‘A’ of Form GSTR 2A (the details of input tax credit distributed by input
service distributor will be made available in Part ‘B’ of said Form i.e., Form GSTR
2A).
3. In case, any error or omission is discovered in the course of matching as
specified in the Act under Section 42 and 43, rectifications of the same shall be
effected and tax and interest, if any as applicable shall be paid on such
corrections by the person responsible for filing the return of inward supplies.
4. Such rectification of error or omission, however, is not permitted after filing
of annual return or before the due date for filing the return for the month of
September of the following financial year to which the details pertain,
whichever is earlier.
New Section 38 of the CGST
Act

• The existing Section 38 of the CGST Act is titled ‘Furnishing

details of inward supplies’. It governed the furnishing of
details of outward supplies (i.e. sales) by a supplier, followed
by the recipient (buyer) accepting such inward supplies (i.e.
purchases) and claiming ITC on the same.
• The revised Section 38, proposed by the Finance Bill 2022, is
titled ‘Communication of details of inward supplies and input
tax credit’. It restricts input tax credit claims in more ways
than one and eliminates the two-way communication process
between the seller and the buyer (although it was never
followed).
FURNISHING OF RETURNS UNDER SECTION
39
• Section 39(1) prescribes a monthly return in Form GSTR-3 for every
registered person, other than an input service distributor, a non-resident
taxable person, a composition tax payer, person deducting tax at source,
person collecting tax at source, i.e. an electronic commerce operator and
supplier of OIDAR services located in non-taxable territory providing such
services to a non-taxable online recipient.
• GSTR-3 is to be filed by 20th day of the month succeeding the relevant
calendar month or part thereof. However, filing of GSTR-3 has been
deferred by the GST Council
• Currently, return in Form GSTR-3B is being notified as the monthly
return to be filed by the registered persons who are required to file GSTR-
3. Presently, the due date of submission for GSTR-3B is being notified
as 20th day of the month succeeding the relevant month
 GSTR-3B
• GSTR-3B can be submitted
electronically through the
common portal, either directly or
through a notified Facilitation
Centre
• GSTR-3B is a simple return
containing summary of outward
supplies, inward supplies liable to
reverse charge, eligible ITC,
payment of tax etc. Thus, GSTR-
3B does not require invoice-wise
data of outward supplies
GSTR-3B vs GSTR-1
• GSTR – 3B is a monthly summary return filed by a taxpayer
by the 20th of the next month or 22nd/24th of month
following a quarter. GSTR-3B discloses supplies made during
the month along with GST to be paid, input tax credit claimed,
purchases on which reverse charge is applicable, etc., and
also makes a provision for the payment of taxes, if any, for
the relevant month.
• GSTR – 1 is a monthly or quarterly return filed by taxpayers
to disclose details of their outward supplies for the month –
along with their tax liability. Here, invoice-wise details are to
be uploaded so that the Government can keep a check on
every transaction. This forms the basis for the recipient of
supplies to accept the same and take the eligible input tax
credit.
First return [Section 40]

• When a person becomes liable to registration after his turnover

crosses the threshold limit, he may apply for registration within 30
days of so becoming liable.
• There might be a time lag between a person becoming liable to
registration and grant of registration certificate. During the
intervening period, such person might have made the outward
supplies, i.e. after becoming liable to registration but before grant of
the certificate of registration.
• section 40 provides that registered person shall declare his outward
supplies made during said period in the first return furnished by him
after grant of registration.
• The format for this return is the same as that for regular return
 Example
• Suppose there is a seller Mr A and he sells his goods to Mr B. Here Mr B
i.e the buyer will be eligible to claim the credit on purchases based on
the invoices.
Step 1: Mr A will upload the details of all
tax invoices issued in GSTR 1.

Step 2. The details with respect to sales to

Mr B will auto populate/ get reflected in
GSTR 2A, the same data will be pulled
when Mr B will file GSTR 2 (i.e details of
inward supply).

Step 3: Mr B will then accept the details

that the purchase has been made and
reported by the seller correctly and
subsequently the tax on purchases will be
credited to ‘Electronic Credit Ledger’ of
Mr B and he can adjust it against
future output tax liability and get the
Matching, Reversal and Reclaim of
Input Tax Credit (ITC)

• Matching, reversal, and reclaim of Input Tax Credit (ITC) are

important for taxpayers because it helps in claiming the
accurate amount of ITC without any discrepancy.
• One can be considered as completely compliant to GST if
their ITC claims are in place.
 Matching Reversal And Reclaim Of
Input Tax Credit (Section 42 of CGST)
1. Every detail of inward supply received by recipient shall be matched with
a. the Corresponding detail furnished by corresponding outward supplier after
the due date of Form GSTR-3 (after 20th of following month)
b. IGST paid on imported by him
c. duplicate claim of Input tax credit
d. GSTIN of Supplier
e. GSTIN of recipient’s
f. Debit note number and date
g. Amount of tax

2. Every claim of input tax credit on inward supply recipient on the basis of invoice or debit
note that match with corresponding outward supply made by supplier or with IGST paid
under section 3 of The Custom Tariff Act 1975 on goods imported by recipient shall be
accepted and communicated to recipient. Claim of input tax credit shall be made
available on GST portal in Form GST MIS-1 to registered person
 Matching Reversal And Reclaim Of
Input Tax Credit (Section 42 of
CGST)
3. In case input tax credit claimed by recipient on inward supply which is in excess of
value declared by supplier in his return then such discrepancy shall be
communicated to both recipient and supplier. Discrepancy found in input tax credit
shall be available to recipient in Form GST MIS-1 and to supplier in Form GST MIS-2
on the portal.

4. If any duplicate claim of input tax credit made recipient then such duplicated claim
shall be communicated to recipient in Form GST MIS-1.

5. In case discrepancy noticed under point 3 is not rectified by supplier in his return for
the month in which such discrepancy was communicated then the amount shall be
added to output tax liability of recipient in his return for the month following the
month in which such discrepancy was communicated. Detail of such addition to
output liability shall be available on Portal in Form GSTR-3.

6. if such above claim is not rectified by recipient in his return then such excess input
tax credit shall be added to his output liability of Supplier for the month of
succeeding the month in which discrepancy communicated.
Matching Reversal And Reclaim Of
Input Tax Credit (Section 42 of
CGST)
7. The recipient shall be eligible to take credit of tax paid under point 5 and reduce
his output tax liability only if the supplier furnish the detail of invoice or debit note
in his return within due date as specified in section 39(9) of CGST.
8. The recipient whose output tax liability increased on point no. 5 and 6 shall also be
liable to pay interest at the rate 18 % under section 50(1) of CGST from the day of
availing credit till the date of addition made under this
9. In case of eligibility of input tax credit or reduction in output tax liability accepted
under point 7 then interest paid in point 8 shall refunded to recipient and such
refund shall be credited in his cash ledger in Form GST PMT-05 provided that
amount of interest credited shall not exceed to the amount of interest paid by
supplier.
10. If amount of output tax liability reduced in contravention of point no. 7 then the
amount shall be added to output tax liability of recipient in his return related to
month in which such contravention taken place and recipient shall also be liable to
pay interest @ 24% under section 50(3) of the CGST
Matching reversal and reclaim of
output tax (Section 43 of CGST)
1. Every credit note furnished by supplier in relation to his outward supplies then
same shall be matched with
a. Corresponding reduction of claim in input tax credit by recipient in his return.
b. Duplicate reduction of output tax liability.

2. Every claim of reduction in output tax liability made by supplier which matched
with the corresponding reduction made in input tax credit by recipient shall be
accepted and communicated to supplier. And such credit shall be available in
Form GST MIS-1.
3. In case of reduction of output tax liability on outward supplies made by supplier
which is in excess of claim of input tax credit or credit note which is not
declared by recipient in his return then such discrepancy shall be
communicated to both recipient and supplier in Form GST MIS-1.
4. If any duplicate claim for reduction output tax liability made supplier on outward
supplies then such duplicated claim shall be communicated to supplier Form
GST MIS-1.
Matching reversal and reclaim of
output tax (Section 43 of CGST)
5. In case discrepancy noticed under point 3 is not rectified by recipient in his
return for the month in which such discrepancy was communicated then the
amount shall be added to output tax liability of Supplier in his return for the
month following the month in which such discrepancy was communicated.
And such discrepancy shall be available to supplier in Form GST MIS-1 and
to recipient in Form GST MIS-2.
6. The amount of reduction made in output tax liability which is found
duplicate then such claim shall be added to output tax liability of supplier in
return for the month in which such duplication was communicated.
7. The supplier shall be eligible to take credit and reduce his output tax liability
which was paid under point 5 only if recipient furnish the detail of credit
note in his return within due date.
8. The supplier whose output tax liability was increased under point 5 and 6
shall also be liable to pay interest at the rate of 18 % -under section 50(1) of
the CGST from the day of claim till the date of addition made under this.
Matching reversal and reclaim of
output tax (Section 43 of CGST)
9. In case where recipient furnish the detail of credit note which result
in reduction in output tax liability then interest paid under point 8
shall be refunded to supplier and such amount shall be credited to
his cash ledger in Form GST PMT-05 and provided that amount of
interest credited shall not exceed to the amount of interest paid by
recipient.
10. If amount of output tax liability reduced in contravention of point
no. 7 then the amount shall be added to output tax liability of
supplier in his return related to month in which such contravention
taken place and recipient shall also be liable to pay interest @ 24%
under section 50(3) of the CGST.
11. Note:- if due date of furnishing of return extended then Form GSTR-
1 and Form GSTR-2 then date of matching shall also be extended
GSTR – 9/9A and GSTR-9B - Annual Return & Annual
Statement
[Sections 44, 52 read with rule 80 of the CGST
Rules]
a. Who is required to furnish the annual return and what is the
due date for the same?
All registered persons are required to file an annual return.
However, following persons are not required to file annual return:
– (i) Casual taxable persons.
– (ii) Non- resident taxable person
– (iii) Input service distributors and
– (iv) Persons authorized to deduct/collect tax at source under
section 51/52.
The annual return for a financial year needs to be filed by
31st December of the next financial year.
 Annual Return & Annual Statement

(b) What is the prescribed form for annual return/statement?

The annual return is to be filed electronically in Form GSTR-9 through
the common portal.
– Person registered under composition levy: A person paying tax
under composition scheme is required to file the annual return in
Form GSTR-9A.
– ECO required to collect tax at source: An ECO required to collect
tax at source is required to file an annual statement referred to in
section 52(5) in Form GST-9B (yet to be notified).
– The statement for a financial year needs to be filed by 31st
December of the next financial year.
 Annual Return & Annual Statement
(c) Who is required to furnish a reconciliation statement? [Section 44(2)
read with section 35(5) and rule 80(3) of the CGST Rules]
Section 35 contains the provisions relating to accounts and records.
Sub-section (5) of section 35 read along with section 44(2) and rule 80
of the CGST Rules stipulates as follows:
– (i) Every registered person must get his accounts audited by a
Chartered Accountant or a Cost Accountant if his aggregate turnover
during a financial year exceeds ` 2 crores.
– (ii) Such registered person should furnish, electronically, the annual
return along with a copy of
 Audited annual accounts
 A reconciliation statement, duly certified, in Form 9C
Reconciliation Statement will reconcile the value of supplies
declared in the return furnished for the financial year with the
audited annual financial statement and such other particulars,
 GSTR - 10 - Final Return [Section
45 read with rule 81 of the CGST
Rules]
(a) Who are required to furnish final return?
Every registered person who is required to furnish return u/s 39(1)
and whose registration has been surrendered or cancelled is required
to file a final return electronically in Form GSTR-10 through the
common portal.
(b) What is the time-limit for furnishing final return?
The final return has to be filed within 3 months of the:
(i) date of cancellation
or
(ii) date of order of cancellation
whichever is later.
DEFAULT/DELAY IN FURNISHING
RETURN [SECTIONS 46 & 47]
• Notice to return defaulters [Section 46 read with rule
68 of the CGST Rules]
– A notice in prescribed form is issued, electronically, to a
registered person who fails to furnish return under section 39
[Normal Return] or section 44 [Annual Return] or section 45
[Final Return] or section 52 [TCS Statement]
– The notice requires the registered person to furnish the
return within 15 days, failing which the tax liability will be
assessed under section 62, based on the relevant material
available with the proper officer. In addition to tax so
assessed, applicable interest and penalty will also be
payable.
DEFAULT/DELAY IN FURNISHING
RETURN [SECTIONS 46 & 47]
• Late fees for delay in filing return [Section 47]
Delay in filing any of the following by their respective due dates, attracts
late fee:
(A) Statement of Outward Supplies [Section 37]
(B) Returns [Section 39]
(C) Final Return [Section 45]
DEFAULT/DELAY IN FURNISHING
RETURN [SECTIONS 46 & 47]
• Late fees for delay in filing annual return under section 44
A registered person who fails to furnish the annual return under section
44 by the due date is required to pay a late fee as under:
GOODS AND SERVICES TAX
PRACTITIONERS [SECTION 48]
• Section 48 provides for the authorisation of an eligible person to act as
approved Goods and Services Tax Practitioner (GSTP)
• A registered person may authorise an approved GSTP to furnish
information, on his behalf, to the Government.
• The manner of approval of GSTPs, their eligibility conditions, duties and
obligations, manner of removal and other conditions relevant for their
functioning have been prescribed in the rules 83, 83A and 84 of the CGST
Rules.
• GSTN provides separate user ID and Password to GSTP to enable him to
work on behalf of his clients without asking for their user ID and passwords
• A taxpayer may choose a different GSTP by simply unselecting the
previous one and then choosing a new GSTP on the GST portal.
Reference

• https://www.gst.gov.in/
• https://www.taxmann.com/blogpost/2000000099/assessment-i
n-gst.aspx
• https://www.indiafilings.com/learn/assessment-under-gst/
• https://icmai.in/TaxationPortal/upload/IDT/Article_GST/69.pdf
• https://cleartax.in/s/gst-returns
• https://cleartax.in/s/returns-under-the-gst-law