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GSTR 4 – Composition Scheme: Rules, Return Filing Procedures & Dates

If you opted in / out from GST Composition Scheme, you may facing several problems. Most of the problems are common to all taxpayers who opted in / out from composition scheme. Let’s check out those expected common problems with probable solutions.

Q: Obtained new registration and opted to pay tax under Composition Scheme. How to file GSTR-4?

A: Download GSTR-4 offline tool from GST portal and fill it. Then upload the JSON file of GSTR-4 offline tool in the portal.

Q: Do I need to enter details of Purchase from registered dealer in GSTR-4?

A: In GSTR-4, there must be an column (4A) to enter the details of purchase received from a registered dealer (other than supplies attracting reverse charge). But there is no 4A column in GSTR-4 offline tool for jul-sep quarter. Also in the ‘Read me’ section of GSTR-4 offline tool it is clearly written that 4A column is not applicable for Quarter 2 & 3 (Jul-sep&oct-dec) period in FY 2017-18. Hence, according to rule no scope to fill purchase details from registered dealer in GSTR-4 for Jul-sep quarter.

Q: Who can file GSTR-4 for Jul-Sep quarter?

A: The migrated taxpayers who have opted to pay tax under composition scheme by filing intimation in Form GST CMP-01 before 16 August 2017.

The taxpayers who have obtained new registration in GST regime and opted to pay tax under composition scheme while filing application in Form GST REG-01.

Q: How to pay the tax?

A: Go to GST Portal> Services>  Payments> Create challan.

Q: Can I claim ITC?

A: ITC is not available to the composition taxpayers.

Q: What is percentage of tax I need to pay?

A: Composition taxpayers need to pay tax on their quarterly aggregate turnover. The tax rate is,

2% for Manufacturers,

5% for Supplier of food and drinks for human consumption (without alcohol)

1% for Traders (others)

Q: Opted in Composition Scheme on 1st Oct, 2017. Do I need to file GSTR-4 for Jul-Sep quarter?

A: Hope you already filed GSTR-3B for July, Aug, Sept and GSTR 1&2 for Jul. So, you need not to be file GSTR-4 for Jul-Sep quarter. Your return filing dashboard will be updated soon.

Q: Opted out from Composition Scheme on 1st Oct, 2017. Do I need to file GSTR-4 for Jul-Sep quarter?

A:You were in Composition Scheme before 1st Oct and no collected any tax from customer. Hence you need to file GSTR-4 for jul-sep quarter. Hope an official notification regarding this matter will come out soon.

Q: Opted in Composition Scheme on 1st Oct. But there is no option to file GSTR-1 & 2 for Aug & Sep? Even no previous return filing records are showing.

A: As you are now existing in Composition Scheme, the Return filing dashboard is showing as quarterly basis. Also no previous regular scheme records are showing as you are now in composition scheme. Don’t worry it’s a common problem for all who opted in composition scheme on 1st october. No last date till announced to file GSTR-1, 2 & 3 for August, September. Your return filing dashboard will be updated soon.

Q: What is the last date to file GSTR-4 for Jul-Sep?

A: The Govt. announced 24th Dec. 2017 is the last date to file GSTR-4 for Jul-Sep quarter.

Q: Opted in Composition Scheme on 1st Oct, but ITC balance is still showing in Electronic credit ledger. Can I offset that ITC in Oct-Dec quarter?

A: You can not avail ITC in Composition scheme. You may use the ITC at the time of filing GSTR-3 for Aug and Sep. Hope a new official notification will be available soon.

Q: Late fee waived for GSTR-3B of Jul, Aug & Sep. But no refund received?

A: A ‘Refunds’ tab already added in the portal. Hope it will be activated soon.

These are some common problems I found regarding GSTR-4 for jul-sep quarter.

Disclaimer: The views expressed in this article are strictly personal. The content of this document are solely for informational purpose. It doesn’t constitute professional advice or recommendation. The Author does not accept any liabilities for any loss or damage of any kind arising out of information in this article and for any actions taken in reliance thereon.

About Soumya Laha

The author is a practicing Advocate and a Tax Consultant.

Comments 24

rajkumar sadhwani

December 3, 2017

I have paid the tax for the quarter july-september but I am not able to submit the turnover amount. What can I do??

CA Ruchika Tulsyan

December 21, 2017

There Might me Portal Issue, wait for sometime

udupi restaurant

December 20, 2017

while uploading return the following error is seen : you are not allowed to submit the return for tax period prior to your registration as composition taxable person
but under registration is shows : u are opted for composition for the current year
kindly guide us

sowmiya

December 20, 2017

while uploading return the following error is seen : you are not allowed to submit the return for tax period prior to your registration as composition taxable person
but under registration is shows : u are opted for composition for the current year
kindly guide us

Reply

CA Ruchika Tulsyan

December 21, 2017

what is the Date of Registration mentioned on Composition certificate?

RAJKUMAR

December 21, 2017

In GSTR4 for the Period July – September Quarter If we enter the value in Field of Aggregate Turnover and click on SAVE button , it shows error as ” You are not authorised to access GSTR-4 for this Return period

CA Ruchika Tulsyan

December 21, 2017

Confirm Date mentioned on your Composition Registration Certificate

RAJKUMAR

December 21, 2017

please kindly tell solution for my above mentioned GSTR-4 problem soon

RAJKUMAR

December 21, 2017

1) 01/10/2017 – Client 1
2) 01/11/2017 – Client 2
3) 01/12/2017 – Client 3 & 4

Ritesh

December 23, 2017

I was registered on 07-09-2017 as composition dealer but portal is not showing july to sept return filing coloumn..it is indicating oct to dec so how can i file my return for sept. I have also complain in helpdesk butnow whether i am responsible for late fee if issue is not resolve before 24 dec

sameer

December 28, 2017

Learned members, i got registered in GST on july 29 (fresh registration) and started doing business from 6 August . I am a service provider (lodge,hotel/fooding) Due to confusion i opted for composition scheme and before starting business i got to know that i did not fall under composition scheme. There were no option to opt out from Composition. So i started commencing my business as a regular taxpayer(charing taxes,following procedure as regular taxpayer) i opted out of composition scheme when the portal opened. Opted out date is 4 october. I filed july, august, september, october and november GSTR3B (even i had to paid fine for the month of august). Now i received mail from gst department that i opted out of compostion scheme on oct 4 so i need to file GSTR4 from 29 july to 3 october. 

I have been regularily filing gstr3b and already filed gstr3B for the months which i am told to file gstr4.

I am really confused what to do now. 

Kindly reply with the solution. I shall be highly grateful to you. 

Shalap Khandelwal

January 1, 2018

I have new registration in Gst under Composition on 7th september 2017 but in the Return Dahsboard there are no option for July to Sept. Qtr.
Plz suggest me about this problem.

bobby

January 15, 2018

error {“gstin”:”33ANIPS9485J3Z5″,”fp”:”152017″,”gt”:0.0,”cur_gt”:0.0}

Dharmendra

January 15, 2018

I have registered in composition gst I have fill July to Sept returns, now I am s fill Dec returns please guide me about process if any changes

shweta kothari

January 17, 2018

Dear I am a normal tax payer.I want to migrate as a composition scheme today (17/01/2018) what will be efffective date of composition scheme.whether i take registration for composition from 1st oct 2017.plz rply us.

CA Ruchika Tulsyan

January 18, 2018

No need to take Composition from 1st oct you can take from the date when you want. you have to file GSTR-1 up to 17/01/2018 and also GSTR-4 for Q 4 i.e. 17/01/2018 to 31/03/2018

PB Traders

January 17, 2018

Dear Sir
We have opted composition scheme from october and tried to submit GSTR 4 under online toll.
My sale turnover for the period from October to Decmber 2017 is Rs.3 lakhs and i have opted online tool for filing GSTR 4. In one line tool, no option to give sales turn over for the period of oct-dec 2017. The site asking only for aggregate turn over in the prceeding financial year and April to June 2017 only

CA Ruchika Tulsyan

January 18, 2018

There will be definately a table where turnover for Oct-Dec is asked

shreyanshshrey

January 20, 2018

i am a composition dealer and i wrongly submitted my purchase in 4b column and now it shows a tax liability of rs 143316..i am a very small businesman and i can not afford such a huge amount..please help me..how may i come out from this big problem

Milap Sanklecha

January 20, 2018

i am a composition dealer and i wrongly submitted my purchase in 4b column and now it shows a tax liability to much & I am a very small businesman and i can not afford such a huge amount..please help me..how may i come out from this big problem

Huzefa Johar

March 22, 2018

I had mistakenly opted in for composition scheme and opted out on october (as soon as the option was available) and filed gstr- 3b for the month July August and September

I now can’t file gstr 1 for the month August and September as only gstr 4 filing option is available . How to file gstr 1 for the same?

Swapnil

April 18, 2018

Hello respected , i m composite deler which served a diet food to patients in private hospital where i m register as contractor or sub contractor so it is libel to pay gst on patients food , and it is compulsory to file gst.r4 of jan to march 2018, please suggest me as early as possible Thank you

ASHISH KUMAR DIXIT

May 2, 2018

Dear Sir,

we have already filed GSTR-3B and GSTR-1 up to October because the portal was not updated and was showing monthly return even he was in composition scheme. Now the portal is updated and showing GSTR-4 to be filed but he had already paid tax for the respective periods. Request you to check the issue and How to resolve the same.
GSTIN: 09AKKPD3466H1Z1

We are registered with GST having GSTIN NO.09AKKPD3466H1Z1 and engaged in providing of CABLE TV SERVICE (Home Program Distribution Service ) SAC Code no. 998466 as regular registration. We have also filed GSTR 1 & GSTR 3B return from July 2017 to march 2018 monthly, in due time. From 01/04/2018 on wards GST Portal shows status as Composition Scheme instead of Regular. However the above said service does not fall under the categories of composition Scheme.

Our previous complain no given below

GA0904180021089 dtd 16/04/2018

GA090418004000P dtd 24/04/2018

GA0904180043827

GURU MURTHY

July 9, 2018

what is the meaning of Aggregate Turnover in the preceeding financial year (2017-18) or (2016-17) in GSTR-4 asking Aggregate Turnover in the preceeding financial year and Aggregate Turnover – April to June, 2017 please clarify preceeding turn over means 2016-17 or 2017-18