There have been several new updates on the Goods and Services Tax (GST) portal took place over the last six months.
These new updates will help a taxpayer in smooth and effective filing of the returns. However, taxpayers must be updated to avoid missing out on essential compliances and receiving the notices.
Here are some of the significant new features and updates for the ease of filing retruns:
1. New window to claim TDS/TCS credits
The GST portal has enabled a new window for claiming TDS/TCS credits which can be utilized while filing GST returns. A taxpayer can either accept or reject these credits, after which they are moved to the cash ledger. These credits can then be used to make GST payments. Furthermore, this function helps the taxpayers to determine the available credits, and take necessary action.
2. Comparison of declared liability and claimed ITC
GST portal now allows taxpayers to compare their GSTR-3B tax liabilities with filed GSTR-1. Similarly, users can also make a comparison between input tax credit (ITC) claimed in the GSTR-3B and credit available in GSTR-2A.
Furthermore, there are 4 additional tabs under which the data validation and comparison can be done – liability other than export/reverse charge, liability due to export and SEZ supplies, liability due to reverse charge, and ITC claimed and due. Concluded, this feature can help to reconcile the filed GST returns and prepare the annual return.
3. Bank account details can be updated any time after registration
Earlier it was mandatory to submit bank account details during registration process, however, now it can be provided when logging in for the first time. For normal, OIDAR, and non-resident taxable person, it is now optional to declare bank account details at the time of registration, and the same can be furnished later.
For new businesses, this can be particularly useful as a GST registration number can be obtained without the need to open a bank account first.
4. File appeals online
Now, a taxpayer can file an appeal online in the case of an advanced ruling by an appellate authority, an order passed by an appellate authority or rectification of a mistake in an application to the appellate authority. A system-generated acknowledgment bearing the remark “subject to validation of certified copies” will be issued if the appellate authority fails to issue a final acknowledgment within the stipulated timeline.
5. Responding to show-cause notices
For composition taxpayers, there is an easy way to reply to show-cause notices which have been issued for compulsory withdrawal from the composition scheme. If a show-cause notice has been issued and the proceedings have been initiated, you can now reply to the same using a new option on the portal. This could save time significantly and also simplified the overall process for composition taxpayers.
6. GSTR-9 and GSTR-9A enabled to file annual returns
GSTR-9, the annual return form for normal taxpayers, and GSTR-9A, the annual return form for taxpayers under composition scheme have been enabled recently on the portal. Taxpayers are advised to file their returns early and not wait till the last moment. In the case of any doubt, users can also refer to available guides to file these returns.
7. Import e-way bill data to file GSTR-1
The GST portal has been integrated with the E-way bill (EWB) portal which allows taxpayers to import their data. The users can automatically import the B2B and B2C invoices sections and HSN-wise-summary of outward supplies section. They can also verify the data and then proceed further which saves time and prevents unnecessary data-entry.
8. GSTIN can be entered while filing a refund application
Due to the inverted tax structure under GST, a registered taxpayer can file a refund application to claim the accumulated input tax credit (ITC). Now, a taxpayer can enter their own GSTIN while furnishing the inward supply details on the GST portal. Prior to the introduction of this feature, this option was not available.
9. New return filing procedure (trail)
In its 31st meeting, the GST council has decided to introduce a new GST return system to facilitate taxpayers. In May 2019, the offline tool has been shared on the GST portal on a trial basis to familiarize the users with the look and feel of the tool. It was also noted that the look and feel of the offline tool would be similar to that of the online portal. This move towards new return system might increase the ease of doing business for all taxpayers.
10. Quarterly-filers can file their refund applications monthly
Taxpayers who file their returns quarterly no longer need to wait for quarterly filing of refund applications. The portal has now enabled the monthly filing option. However, before filing the refund application, a user has to ensure the filing of GSTR-1 for the quarter. This feature can enable businesses, especially SMEs, to mobilize their cash flows as they don’t need to wait till the end of the quarter to apply for a refund.
These new features and updates on GST portal should help taxpayers to file their GST returns smoothly and without any hassle. While there are still new features being rolled out, taxpayers are hoping to see a system which is completely online and faultless.