This is for the first time that Indians are going to face the whole drama revolving around GST filing at the end of the current economic year. With only a few days to go, taxpayers certainly need to focus and act quickly upon several issues regarding GST. The GST Council had earlier extended filing of initial returns of GST-3B to March 31st, 2018. Late filing of GST returns can award a maximum penalty of Rs 5,000. Side by side, defaulters may also need to pay an interest of 18% per annum. To avoid the last minute rush, taxpayers need to focus on the following aspects of GST.
First and foremost, taxpayers need to be wary of all old invoices issued before October 1st, 2017. For reversal of input tax credit, the submission has to be within the stipulated deadline of March 31st. Secondly, it is absolutely necessary to register under E-way bill system as the new system of issuing E bill will begin from April 1st, 2018. Most importantly, taxpayers shouldn’t forget to reconcile the cash ledger, credit ledger and liability ledger with separate books of accounts. Mentioning HSN code in the invoice is another mandatory which is significant considering preparing the first invoice for the new economic year. In this regard, the turnover for the current year has to be checked thoroughly.
Whether to register or opt out from the composition scheme – taxpayers need to log in and apply by filling up Form GST CMP. To change the series of billing in the New Year too, the deadline has to be maintained at any cost. For monthly/quarterly plans too, the turnover for the economic year has to be checked upon and there are options depending on the aggregate turnover. Those who are required to file GSTR 6 from July 2017 to February 2018, March 31st is the deadline. Similarly, for GSTR 2, details of purchases should be closely looked upon. One must not forget to evaluate the closing stock. It categorically includes input tax credit taken on raw materials, consumables and finished goods. Those who have filed TRAN 1, need to fill up TRAN 2 form as well. Taxpayers must not forget the due dates of the returns and must be careful on the proceedings with various GST based forms.
Anyhow, the government will not extend the deadline for sale of pre-GST packaged products with stickers of revised rates after March 31st. Thus, taxpayers must complete all the necessary work regarding GST before March 31st.