GST Filing

Registration: First, businesses that meet the threshold for GST registration must enroll themselves for GST with the tax authorities. Once registered, they are provided with a unique Goods and Services Tax Identification Number (GSTIN).

Maintain Records: Businesses are required to maintain proper records of their sales, purchases, and other financial transactions related to the supply of goods or services.

Collect GST: When a registered business makes a supply of goods or services, it must collect GST from its customers and issue a tax invoice showing the applicable GST.

Input Tax Credit (ITC): Registered businesses can claim input tax credit on GST paid on their purchases or expenses. This helps to avoid "tax on tax" and is an essential feature of the GST system.

Filing of GST Returns: GST returns are periodic statements that businesses need to file with the tax authorities, usually on a monthly or quarterly basis. The details to be provided in the return include sales, purchases, and the amount of GST collected and paid during the period.

GSTR Forms: Various GSTR (Goods and Services Tax Return) forms are used to file returns. The specific forms to be filed depend on the type of business and turnover.

Payment of Tax: After filing the GST returns, businesses are required to pay the net amount of GST (i.e., GST collected minus ITC) to the tax authorities by the due date.

Late Fees and Penalties: Failing to file returns on time or incorrect filing may attract late fees and penalties.

Annual Return: In addition to regular GST returns, businesses must file an annual return providing a summary of their transactions for the entire financial year.

GST Audit: In some cases, businesses may be subject to a GST audit conducted by tax authorities to verify the accuracy and compliance of their GST-related records and filings.