GST Annual Return Gstr-9
GSTR-9: Annual Return under GST
GSTR-9 is the annual return that needs to be filed by taxpayers who are registered under GST (Goods and Services Tax). This return consolidates the monthly and quarterly GST returns (such as GSTR-1 and GSTR-3B) filed during the financial year, providing a summary of the taxpayer’s sales, purchases, input tax credit (ITC), and tax payable over the entire year.
Filing the GSTR-9 return is essential for businesses to ensure compliance with the GST law and to accurately report their tax liabilities and ITC claims for the year.
Who Needs to File GSTR-9?
Registered GST taxpayers (except for those under the Composition Scheme) are required to file GSTR-9.
This return is applicable to businesses that have filed GSTR-1 and GSTR-3B during the financial year.
Non-Resident Taxable Persons, Input Service Distributors (ISD), TDS/TCS deductors, and E-commerce operators are generally not required to file GSTR-9.
Key Features of GSTR-9
Annual Summary: GSTR-9 acts as an annual summary of the business’s GST transactions during the financial year.
It includes a consolidation of the details reported in monthly/quarterly returns such as GSTR-1, GSTR-3B, and any other returns filed during the year.
Reconciliation:
GSTR-9 helps in the reconciliation of sales, purchases, and taxes paid. It checks if the GST returns filed are in harmony with the business’s books of accounts.
Taxpayer Details: The form requires details such as the name, GSTIN, turnover, and address of the registered taxpayer.
ITC Report: It reports the Input Tax Credit (ITC) claimed during the year and compares it with the details in GSTR-2A (which reflects purchases made by the taxpayer).
Late Fees and Penalties: A penalty can be imposed for late filing of the GSTR-9. Late fees are ₹50 per day (₹25 each for CGST and SGST) for delays in filing, subject to a maximum of ₹5,000.
Details of Outward and Inward Supplies:
GSTR-9 contains comprehensive details of outward (sales) and inward (purchases) supplies made during the year.
It reports taxable value, exempt supplies, exports, and inter-state supplies.
Reconciliation with Audited Financial Statements:
For businesses with a turnover of more than ₹2 crore, GSTR-9 must be reconciled with the audited financial statements, and the taxpayer must file GSTR-9C (Reconciliation Statement).
Structure of GSTR-9
GSTR-9 consists of several sections that provide a detailed summary of transactions:
Part I: Basic Information :Contains the name, GSTIN, financial year, and other business details.
Part II: Details of Outward and Inward Supplies: Outward Supplies (Sales):
Details of taxable, exempt, and zero-rated supplies made during the financial year.
Inward Supplies (Purchases): Details of inward supplies on which input tax credit (ITC) is claimed, including domestic purchases and imports.
Part III: Details of ITC: Summarizes the input tax credit claimed during the year.
It compares the ITC claimed with the auto-populated data from GSTR-2A to ensure that it matches the actual purchases and sales.
Part IV: Details of Tax Paid: It shows the total tax paid, including CGST, SGST, IGST, and cess, during the year.
Part V: Other Information: Details of other additional information, including:
Reverse Charge Mechanism (RCM) payments.
Demand and Refunds.
Harmonized System of Nomenclature (HSN) code for the goods supplied.
Part VI: Reconciliation: This section is used to reconcile the data in the financial statements with the figures reported in GSTR-9.
It helps identify any differences in the tax paid and ITC claimed in the returns and books of accounts.
Businesses with turnover exceeding ₹5 crore must submit the reconciliation statement (GSTR-9C) along with GSTR-9.
Part VII: Declaration: The final section requires a declaration from the taxpayer certifying the accuracy of the return.
Due Date for Filing GSTR-9
The due date for filing GSTR-9 is 31st December of the year following the financial year for which the return is being filed.
For example, for the financial year 2023-24, GSTR-9 must be filed by 31st December 2024.
The late fee for non-filing is ₹50 per day (₹25 each for CGST and SGST) up to a maximum of ₹5,000.
Penalties for Non-Filing or Late Filing
Late Fees: Late fees for non-filing or delayed filing of GSTR-9 are ₹50 per day (₹25 each for CGST and SGST), with a maximum cap of ₹5,000.
Interest: Interest at 18% per annum is levied on the outstanding tax amount if there is any delay in paying the taxes.
Penalties: Continued non-filing of returns may lead to penalties and the cancellation of GST registration.
GSTR-9C: Reconciliation Statement
GSTR-9C is mandatory for taxpayers with an annual turnover of over ₹5 crore.
It is a reconciliation statement that compares the figures in GSTR-9 with the audited financial statements of the business.
Chartered Accountants (CAs) are required to audit and certify GSTR-9C before filing.
The GSTR-9C form includes:
- Reconciliation of turnover as per financial statements and GSTR returns.
- Reconciliation of tax paid and input tax credit (ITC) claimed.
- Certifications by CA.
How to File GSTR-9
Filing GSTR-9 is a straightforward process done online through the GST portal:
Login to the GST Portal: Visit the official GST portal www.gst.gov.in and log in using your GSTIN and password.
Navigate to the Annual Return Section:
Click on the Returns section and select Annual Return (GSTR-9).
Fill in the Required Details:
Enter the necessary details related to outward and inward supplies, ITC, taxes paid, etc., as per the data of your business for the financial year.
Reconcile Data: Ensure that the data in GSTR-9 matches your audited financial statements (if applicable) and the figures from GSTR-1 and GSTR-3B filed during the year.
Submit the Return: After verifying the details, submit the form. If applicable, file GSTR-9C (Reconciliation Statement) as well.
Download the Acknowledgment: Once successfully filed, you will receive an acknowledgment receipt along with an ARN (Application Reference Number).
Conclusion
GSTR-9 is an important compliance requirement for businesses registered under GST. It serves as an annual summary of all the transactions, tax liabilities, and input tax credit (ITC) claims made by a business during a financial year. Filing GSTR-9 on time ensures compliance with the GST law, helps reconcile the data with the business’s books, and avoids penalties. For larger businesses, the reconciliation of the return with audited financial statements through GSTR-9C is mandatory.
