Here is a quick reference checklist of items that all Indian businesses with applicability of GST should consider before the close of the financial year on 31st March.
Reconciliation
1. Reconcile all your ledgers on the GST Portal (such as cash, credit or liability) with your accounts.
Composition Levy
2. Decide on applicability of and whether to opt for or withdraw from the Composition Scheme.
Letter of Undertaking (LUT) for Export
3. If you have made exports (on which IGST has not been paid) without submitting the LUT with the Department, then do so before 31st March. Further, the application for LUT earlier submitted was for FY 17-18. A renewal for FY 2018-19 would also be required.
Reconcile all GSTR-3B
4. Reconcile all your GSTR-3B returns already filed. Prepare a consolidated sheet containing correct amount of Outward and Inward Supplies. Take correct output and input tax, in comparison to incorrect claims if made inadvertently earlier. Subsequently, take effect of this consolidated amount in the GSTR-3B return to be filed for March 18.
Reversal of Input Tax Credit (ITC)
5.1 Prepare your yearly chart of ITC and determine further reversal or reduction in reversal amount.
5.2 After issuance of tax invoice, if a receiver does not make the full payment within 180 days, then the credit taken on that invoice is to be reversed. Therefore, an aging analysis of creditors should be done. All old invoices issued before 1st October, 2017, should be paid before 31st March 2018.
GSTR 2A
6. Check GSTR-2A for matching credit claimed by you in GSTR-3B and credit passed by your suppliers in their respective GSTR-1. In case of mismatch, take corrective actions in the form of either reversal of credit, if not available, or ensure supplier corrects the mistake in their respective GSTR-1 of next month in Table called Amended Invoices.
TRAN-2
7. Filing TRAN-2 so as to claim deemed credit u/s 140(3) proviso, w.r.t. traders only - 60/40 Credit, which is required to be passed to consumers in the form of reduced prices.
Surrender of GSTIN
8. If you have obtained fresh GST registration or migrated from previous regime, then you may surrender the same (in case the portal permits).
New Series for Tax Invoice
9. If anyone wants to change the series for billing in the new year, then one may do so from 1st April. New numbering should be started from 1st April.
Monthly/ Quarterly Returns
10. Taxpayers should check the turnover for the year 2017-18. If the aggregate turnover is above Rs. 1.5 Crore then the taxpayers have to file monthly return. If the aggregate turnover is below Rs. 1.5 Crore then the taxpayers have an option to file the quarterly GST returns.
GSTR 6
11. Input service distributor has to file GST return in Form GSTR-6. So 31st March is the due date to file GSTR-6 from July 2017 to February 2018.
Depreciation on Capital Assets
12. At the time of calculating depreciation on the capital goods (other than building), if ITC has been claimed, then the ITC claimed needs to be ignored at the time of calculating depreciation.
Sarthak Ahuja
Partner
Sandeep Ahuja & Co.
+91-9953926562 | casarthakahuja@gmail.com
Reconciliation
1. Reconcile all your ledgers on the GST Portal (such as cash, credit or liability) with your accounts.
Composition Levy
2. Decide on applicability of and whether to opt for or withdraw from the Composition Scheme.
Letter of Undertaking (LUT) for Export
3. If you have made exports (on which IGST has not been paid) without submitting the LUT with the Department, then do so before 31st March. Further, the application for LUT earlier submitted was for FY 17-18. A renewal for FY 2018-19 would also be required.
Reconcile all GSTR-3B
4. Reconcile all your GSTR-3B returns already filed. Prepare a consolidated sheet containing correct amount of Outward and Inward Supplies. Take correct output and input tax, in comparison to incorrect claims if made inadvertently earlier. Subsequently, take effect of this consolidated amount in the GSTR-3B return to be filed for March 18.
Reversal of Input Tax Credit (ITC)
5.1 Prepare your yearly chart of ITC and determine further reversal or reduction in reversal amount.
5.2 After issuance of tax invoice, if a receiver does not make the full payment within 180 days, then the credit taken on that invoice is to be reversed. Therefore, an aging analysis of creditors should be done. All old invoices issued before 1st October, 2017, should be paid before 31st March 2018.
GSTR 2A
6. Check GSTR-2A for matching credit claimed by you in GSTR-3B and credit passed by your suppliers in their respective GSTR-1. In case of mismatch, take corrective actions in the form of either reversal of credit, if not available, or ensure supplier corrects the mistake in their respective GSTR-1 of next month in Table called Amended Invoices.
TRAN-2
7. Filing TRAN-2 so as to claim deemed credit u/s 140(3) proviso, w.r.t. traders only - 60/40 Credit, which is required to be passed to consumers in the form of reduced prices.
Surrender of GSTIN
8. If you have obtained fresh GST registration or migrated from previous regime, then you may surrender the same (in case the portal permits).
New Series for Tax Invoice
9. If anyone wants to change the series for billing in the new year, then one may do so from 1st April. New numbering should be started from 1st April.
Monthly/ Quarterly Returns
10. Taxpayers should check the turnover for the year 2017-18. If the aggregate turnover is above Rs. 1.5 Crore then the taxpayers have to file monthly return. If the aggregate turnover is below Rs. 1.5 Crore then the taxpayers have an option to file the quarterly GST returns.
GSTR 6
11. Input service distributor has to file GST return in Form GSTR-6. So 31st March is the due date to file GSTR-6 from July 2017 to February 2018.
Depreciation on Capital Assets
12. At the time of calculating depreciation on the capital goods (other than building), if ITC has been claimed, then the ITC claimed needs to be ignored at the time of calculating depreciation.
Sarthak Ahuja
Partner
Sandeep Ahuja & Co.
+91-9953926562 | casarthakahuja@gmail.com
