Simplify GST Return Filing with autoTax GST Software

The GST environ in India is administered by the Goods and Services Network [GSTN], a public-private partnership, which is the whole sole IT module and the backbone of the of GST framework. To strengthen and smoothen the interaction between GSTN and the tax payers, the GST Council has identified and approved [under stringent guidelines] 34 organizations in India, termed as GSPs [GST Suvidha Provider]. A GSP basically provides a third party application which acts as a bridge and synchronizes with the tax payer’s existing financial controlling systems [ERP, Accounting Softwares etc.] and the GSTN, thereby easing the process for organizations, to deal with GST. GSPs are equipped with secure GST APIs [Application Program Interface], which actually act as a connector while the third party GST software provides unique and convenient ways from GST registration to GST Return Filing. Masters India is one of the biggest, rapidly growing and the most favored GSP with its rich and secure autoTax, a complete GST Software.

ASPs [Application Service Providers] are third party entities like GSPs which facilitate the overall GST process for a tax payer – from registration to returns. These GST returns will then be filed on behalf of the filer with GSTN via the GSPs. ASPs are basically a link between the taxpayer and the GSP to provide GST Return Filing. All the GSPs can act as ASPs but an ASP cannot be a GSP. Masters India is one of the biggest, rapidly growing and the most favored GSP + ASP with its rich and secure GST software, autoTax, a complete GST Compliance Solution.

The government has used technology in an unprecedented manner to facilitate taxation of the country. GST regime necessitates a high level of synchronization between tax payer’s system, i.e.an ERP, an accounting or an invoicing software, and the GST system (GSTN), which without automation would be a difficult task. GST software by Masters India acts as a bridge between the taxpayer and the Government. A taxpayer can use the GST software for creating GST compliant invoices, uploading and reconciling their sales and purchase data, filing GST returns, and maintaining GST ledgers.

- Crude petroleum | Natural gas | Aviation turbine fuel | Motor spirit / Petrol.
- Securities [However, ‘transaction in securities’ have been included in the scope of exempt supplies while determining pro rata reversal of input tax credits used for making both taxable and exempt supplies].
- Actionable claims except lotteries, betting and gambling.(it is part of Schedule III , so can we include all schedule III entry here?)
- Specified real estate subject to clause (b) of Para 5 of Schedule II (same entry of Schedule III)

Almost all goods and services supplying in India are included under GST, except some exclusions and exemptions. Should there is an intra-state supply, the seller is to charge Central and State Tax and in case of an inter-state supply, Integrated tax is to be levied upon the purchaser.
GST is levied on an agreed price between the two parties except where such price is influenced or in any other way fouled. A registered purchaser can avail the benefits of Input Tax Credit of taxes, being paid to the supplier and the sequence of taxes continues till the goods/services reach the final consumer.

Imports will attract IGST, which is applicable under the Customs Act and is read with the Customs Tariff Act. Import of services are charged on reverse charge basis, excluding some exceptions.

Anything other than physical goods is considered as service in GST. Money [except some specified transactions] and securities does not fall in the services domain. The scope and the magnitude of services is much larger than the pre GST service tax law. It was being assumed that the real estate will fall into services as it is not goods. However, the sale-purchase transactions of real estate will not fall, either into products or into services, as in schedule III of the CGST act.

The CGST Act excludes the following transactions from both the supply of goods and the supply of services:

- Services of any court or tribunal established under any law.
- Services of an employee to the employer, service should be in the course of or in related to employment.
- Services of members of parliament, members of state legislature, member of panchayats / municipalities / members of other local government / political authorities.
- Service of a chairperson / member / director of a central or state government body who is not deemed as a employee before commencement of this clause.
- Services of a foreign diplomatic mission located in India or any agency of the UN organizations or any multi-lateral financial institution, notified under the United Nations [privileges and immunities] Act 1947
- Services of funeral / burial / crematorium / mortuary including the transportation of the deceased.
- Sale-purchase of real estate [except for a building meant for sale to a buyer before issuance of completion certificate or first occupation]
- Actionable claim other than lottery / betting / gambling.

Such exclusions from the ‘goods’ and ‘services’ leads to having no tax credits to be reversed for any common inputs, input services or capital goods used in such supplies along with taxable supplies.

The cumulative value of all taxable supplies, exempt supplies, export of goods / services and inter-state supplies of a person having the same PAN is termed as the aggregate turnover in GST. The aggregate turnover does not include the tax collected under the [CGST / SGST / IGST / UTGST / compensation cess] acts. Also, value of supplies on which tax is payable on reverse charge basis will also be excluded from the aggregate turnover. Though, any tax charged under any other provisions, such as, excise duty charged on tobacco by the Centre or mandi fees on agricultural and dairy commodities charged in states, will be included in the aggregate turnover.

Under Section 2[84] of the CGST Act, a person is defined as an individual, hindu undivided family, Government companies / firms, limited liability partnership, co-operative society, local authority, any corporation established by or under the [Central / State / Provincial] Act.

No. The taxable person has to apply for two different GSTIN’s for both the states. The turover for the purpose of registration will be the combined turnover of both the states and not the turnover of any one state.

A person having multiple business verticals in a state may obtain separate registrations for each business vertical. Obtaining two registrations on the basis of business vertical is optional for the taxpayer.

GSTR 1 is a monthly Statement of Outward Supplies to be furnished by all normal and casual registered taxpayers making outward supplies of goods and services or both and contains details of outward supplies of goods and services.

GSTR 1 can be filed using the following modes:

1. GST Portal
2. GSTN Returns Offline Tool
3. GST Suvidha Provider (GSPs) and Application Service Provider(ASPs)

Pre-requisites for filing GSTR 1 are:

a. The taxpayer should be a registered taxpayer and should have an active GSTIN during the tax period for which GSTR 1 has to be furnished.
b. The taxpayer should have valid login credentials (i.e., User ID and password).
c. The taxpayer should have an active and non-expired/ revoked digital signature (DSC), in case the digital signature is mandatory
d. In case a taxpayer wants to use E-Sign, they must have a valid Aadhar number with access to the mobile number and e-mail id registered with Aadhar authority (UIDAI) as OTP will only be sent on the registered mobile number and e-mail id. In case the taxpayer has changed the mobile number and e-mail id, they must first update the same with UIDAI. For cancelled GSTINs, the taxpayers will have an option to file GSTR 1 for the period up to the date of cancellation
e. In case taxpayer wants to use EVC, they must have access to the registered mobile number of the Primary Authorized Signatory

The due date to file GSTR 1 for a given tax period is 10th day of the succeeding month.

For example, GSTR 1 for Goods/Services supplied during the calendar month of September 2017 should be filed by 10th October, 2017.

The following taxpayers are not required to file GSTR 1:

- Taxpayers under the Composition Scheme (Return in GSTR 4)
- Non-resident foreign tax payers (Return in GSTR 5)
- Online information database and access retrieval service provider (Return in GSTR 5A)
- Input Service Distributors (ISD) (Return in GSTR-6)
- Tax Deducted at Source (TDS) deductors (Return in GSTR 7)
- E-commerce operators deducting TCS (Return in GSTR 8)