GST is Goods and Services Tax which will be applicable throughout India on 1st July 2017. GST will replace the taxes levied by central and state government. GST is an indirect tax, multi-stage and destination-based tax and it would be applicable on all goods and on every value addition. However, it would not be applicable on crude petroleum, motor spirit, diesel aviation turbine fuel and natural gas. GST will also be applicable on services barring a few to be specified.
GST will be applicable on every stage when any value is added. However, the final consumer of the goods and services will only bear the GST charges charged by the last dealer in the supply chain. The government has decided four slabs for both goods and services – 5%, 12%, 18% and 28%. Whereas, several items will face zero levies on them.
Under the GST Act, taxpayers need to file GST return. Every person who is registered under GST Act has to submit the details periodically, the details which need to furnished are sales and purchases along with the tax collected and paid on them, by filing online returns. The payment of tax due is compulsory before filing the return otherwise such returns will be invalid.
Filling GST return under GST regime is very important and most critical business activity because it will also determine the compliance rating and timely refund. A return is a document that every taxpayer is required to file, this is as per the of law of administrative authorities. A normal taxpayer will be required to submit three returns monthly and also they need to furnish one return annually.
Steps for filing GST return.
There are different forms on which GST return can be filled. The forms are depending upon the nature of transaction and registration. The return forms which are applicable for normal taxpayers and their due dates are as follows:
1. Monthly Details of the outwards supplies is required to be filled in FORM GSTR-1 by the 10th of next month.
2. In FORM GSTR-2, Monthly Details of inwards supplies is required to be filled by the 15 of next month.
3. In FORM GSTR-3, Monthly Filing of Return along with the payment of tax due is required to be filled by the 20th of next month.
4. The Annual Filing of Return is required to be filled in FORM GSTR- 9 by the 31st December of next financial year.
GST has affected almost everything also with the commodities. The market has been drastically affected by the implication of GST Act, so the traders and investors too. In this scenario, the traders and investors are preferring commodity tips, to minimize the adverse effects of this imposed law.