OVERVIEW OF GST COMPLIANCE FOR FINANCIAL YEAR 2017-2018
By: – Sandeep Rawat
Goods and Services Tax – GST
Dated:- 2-8-2018
As the industry approaches towards freezing books of accounts for the financial year 2017-2018 and GST law being 9 months old, it is important for the taxpayers to evaluate the transactions parked in the books as per the GST law. This will ensure hassle free transition of businesses to the new financial year 2018-2019 as far as GST compliance is concerned.
For financial year 2017-2018, the GST taxpayer has to be answerable for the compliance in audit i.e. internal audit, statutory audit, tax audit , Audit by Chartered Accountant or Cost Accountant – Rule 80 and Section 35(5), Audit by Tax Authorities – Section 65, Special Audit – Section 66 of CGST Act 2017.
I have prepared the all working actions required for the financial year 17-18 that must be complied by the taxpayers and as auditors need to be scrutinized and verified.
ACTIVITY BEFORE 1 JULY
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yer are brought back to the place of business of the seller within 6 months from the appointed day – Sec. 142(12) of CGST Act 2017
* Tax shall be payable by the person returning the goods if such goods are liable to tax under GST regime, and are returned after a period specified above
* Tax shall be payable by the person who has sent the goods on approval basis if such goods are liable to tax under GST regime, and are not returned within a period specified above
INVOICE, RECORDS, DOCUMENTS
HSN Code in the Invoice
HSN code would be required to be mentioned in the Tax Invoices to be issued in the new financial year 2017-2018 in the manner stated below – Refer notification no. 12/2017-CT dated 28.06.2017
* Taxpayers with turnover of upto ₹ 1.5 crore may not mention HSN Code in the tax invoices
* Taxpayers with turnover of more than ₹ 1.5 crore but upto ₹ 5 crore shall mention 2 digit HSN code in the tax invoices
* The taxpayers with turnover of more than 
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e computed in the manner prescribed in Sec. 50 of CGST Act 2017 and the rate notified in notification no. 13/2017-CT dated 28.06.2017
RETURN
Return filing due date
Below mentioned is the chart on the due date for filing of returns under GST regime pertaining to the FY 17-18:
i) Form GSTR 3B for March'18 – Last date for filing the return is 20th April 2018
ii) Form GSTR 1 for Feb'18 – Last date for submitting the details is 10th April 2018
iii) Form GSTR 1 for Mar'18 – Last date for submitting the details is 10th May 2018
iv) Form GSTR 6 (July'17 – Mar'18) – Last date for filing the return is 31st May 2018
v) Form GSTR 4 (Jan'18-Mar'18) – Last date for filing the return is 18th April 2018
Selection of return filing cycle
Taxpayers should check with the aggregate turnover for the FY 2017-2018 and the projected aggregate turnover for the FY 2018-2019 in order to determine the return filing cycle for the FY 2018-2019:
* If the aggregate turnover is
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rial, consumables, semi-finished goods is to be calculated
Depreciation on the capital goods
While calculating depreciation on the capital goods (other than building), if the ITC has been claimed, then the tax amount should to be ignored.
Reversal of Input tax credit (ITC)
i) In case the registered recipient has failed to make payment (full or part) to the registered supplier within a period of 180 days from the date of invoice, proportionate input tax credit to the extent of such non-payment has to be reversed by the registered recipient – Sec. 16(2) of CGST Act read with Rule 37(1) of CGST Rules 2017
ii) Where the inputs / input services / capital goods were used partly for effecting exempt supplies and partly for taxable supplies or where such inputs / input services / capital goods were used partly for business purpose and partly for non-business purpose, the attributable amount of ITC used for exempt supplies + non-business purpose shall be reversed by the recipient in the
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adjusted in Form GSTR 3B for March'2018
Anti-profiteering
An analysis of the gross profit booked for the FY 2016-2017 with that of the FY 2017-2018 should be done to check whether he is trapped in the Anti-profiteering or not.
REFUND
Refund of excess ITC
Unlike the refund provision in the existing regime, a registered person making normal taxable supply cannot claim refund of unutilised ITC as on 31st March 2018. The same has to be compulsorily carried forward to the next tax period.
Refund of excess payment (unutilized amount in electronic cash ledger)
* Taxpayers having excess balance in electronic cash ledger which is not planned to be utilised in the near future may be claimed as refund
Further appropriate treatment in accounting records should be given
JOB WORK
Submission of Form GST ITC-04
Taxpayers should ensure that the details of challans in respect of goods dispatched to a job worker or received from a job worker or sent from one job worker to another in the
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