THE JOINT COMMITTEE ON BUSINESS PROCESSES FOR GST GOODS AND SERVICE TAX REPORT OF THE JOINT COMMITTEE ON BUSINESS PROCESSES FOR GST ON GST PAYMENT PROCESS cajrawal@gmail.com CA Jayesh Rawal Mob: +91 9029044954 Email: cajrawal@gmail.com

objectives Tax administration should be transparent, responsive and simple The system and procedures to be made electronic for more efficiency in tax administration and greater satisfaction of taxpayer Payment system of GST should also be based on Information Technology which can handle both the receipt and payment processes. cajrawal@gmail.com

Features of the payment processes under proposed GST regime Electronically generated challan from GSTN Common Portal in all modes of payment and no use of manually prepared challan Facilitation for the taxpayer by providing hassle free, anytime, anywhere mode of payment of tax Convenience of making payment online Logical tax collection data in electronic format Faster remittance of tax revenue to the Government Account Paperless transactions Speedy Accounting and reporting Electronic reconciliation of all receipts Simplified procedure for banks Warehousing of Digital Challan cajrawal@gmail.com

proposed three modes of payment Payment by taxpayers through Internet Banking through authorized banks and through credit card/debit card Over the Counter payment (OTC) through authorized banks (will be available for payments up to Rs. 10,000/- per challan only) Payment through NEFT/RTGS from any bank (including other than authorized banks). It is desirable that under the GST regime, all taxpayers should gradually move to internet payment over an indicative time frame cajrawal@gmail.com

Methods for creation of draft challan Logging on to GSTN Common Portal Authorized representatives can select any tax payer on whose behalf he proposes to pay GST Grant of temporary Registration number can be used by both the tax authorities for facilitating tax payments on behalf of an unregistered person GSTN could also be used for direct payment without user ID and Password (like the present provision under Service tax) cajrawal@gmail.com

Upon creation of the draft challan Taxpayer will fill in the details of the taxes that are to be paid Tax payer will have the option to pay CGST, IGST, Additional Tax and SGST concurrently. After the tax payer has finalized the challan, he will generate the challan, for use of payment of taxes Challan so generated will have a 14-digit (yymm followed by 10-digit) Unique Common Portal Identification Number (CPIN). cajrawal@gmail.com

Methods for creation of draft challan After the challan is generated, it will be frozen and will not be allowed to be modified. CPIN/challan so generated would be valid for a period of seven days. CPINs would remain live with RBI for a period of 30 days in case of counter payment mode. cajrawal@gmail.com

Process involved in Over the Counter payment of GST Every tax payer will access GSTN for generation of a challan through which payment is to be made. Taxpayer will fill in the details of the taxes that are to be paid The taxpayer would select option of cheque, DD or cash based payment The name of the authorized bank and its location (city/town/village) where the instrument/cash is to be presented is required to be filled in necessarily. The taxpayer should preferably carry two copies of the challan, one for the bank’s record and another for himself to get acknowledgement cajrawal@gmail.com

THANKS AND REGARDS CA Jayesh Rawal Mob: +91 9029044954 Email: cajrawal@gmail.com cajrawal@gmail.com