1. Payment under GST
CA. Mukesh Khandelwal

2. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

3. Payment under GST
Who is liable to pay GST?
Payment under GST

4. In general, suppliers of goods or services is liable to pay GST.
Payment under GST

5. However in specified cases like imports, supply by unregistered person and other notified supplies, the liability may arise on the recipient under Reverse Charge Mechanism.
Payment under GST

6. In Intra-state supply of notified services, the liability to pay GST may arise on e-commerce operators through which services are to be supplied.
Payment under GST

7. Government and other specified person making payments to vendors above Rs.2,50,000 under a contract are required to deduct TDS
[Section 51(1)]
Payment under GST

8. E-Commerce operators are required to collect TCS on the net value, of the supplies made through them by other suppliers.
[Section 52(1)]
Payment under GST

9. When does the liability for GST arises?
Payment under GST
When does the liability for GST arises?
Payment under GST

10. Liability for GST under forward charge and reverse charge arises at the time of supply of Goods and Services as per Section 12 and Section 13
Payment under GST

11. What is the order in which tax and other dues should be discharged?
Payment under GST

12. Liabilities under GST should be discharged in following order:
self-assessed tax, and other dues related to returns of previous tax periods;
self-assessed tax, and other dues related to the return of the current tax period;
any other amount
[Section 49(8)]
Payment under GST

13. When does the incidence of tax passed on?
Payment under GST

14. On payment of tax by the supplier, the incidence of such tax paid on goods/services is DEEMED to have been passed to the recipient. [Section 49(9)]
Payment under GST

15. What types of payments are to be made under GST?
Payment under GST
What types of payments are to be made under GST?
Payment under GST

16. Tax (CGST, SGST or IGST) TDS and TCS. Interest Penalty Fees
Any other payment
Payment under GST

17. How can the payments be done?
Payment under GST

18. Electronic Cash Ledger Electronic Credit Ledger
Payments of Liabilities under GST
Through
Electronic Cash Ledger
Electronic Credit Ledger
Payment under GST

19. ELECTRONIC CASH LEDGER
Payment under GST
ELECTRONIC CASH LEDGER
Electronic Cash Ledger is like an electronic wallet (like PayTM) in which taxpayer has to add money to make any payment under GST.
Payment under GST

20. ELECTRONIC CREDIT LEDGER
The input tax credit that is self-assessed in the monthly returns will be reflected here.
[Section 49(4)]
Payment under GST

21. What is the due date for payments?
Payment under GST

22. For Normal taxpayers other than Composition 20th of succeeding month
For Composition taxpayers
18th
from the end of quarter
For TDS and TCS
10th
Payment under GST

23. Whether time limit for payment of tax can be extended?
Payment under GST

24. No. This is not permitted in case of self-assessed liability.
In other cases, e.g. penalties, etc. competent authority has been empowered to extend the time period. [Section 80]
Payment under GST

25. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

26. What is Electronic Tax Liability Register?
Payment under GST

27. Once a taxpayer is registered on Common Portal (GSTN), an Electronic Tax Liability register will be automatically opened and displayed on his dashboard at all times.
Payment under GST

28. What type of liabilities are debited in Electronic Tax Liability Register?
Payment under GST

29. Tax, interest, late fee or any other amount payable as per the return;
Tax, interest, penalty or any other amount payable as determined by a proper officer in pursuance of any proceedings under the Act;
Tax and interest payable as a result of mismatch under Section 42 or Section 43 or Section 50;
Any other amount of interest.
Payment under GST

30. How Electronic Tax Liability Register will be credited?
Payment under GST

31. By Electronic Credit Ledger By Electronic Cash Ledger
By any relief given by Appelate Authority/ Tribunal or court in respect of demand debited in electronic tax liability register.
Payment under GST

32. FORMAT OF ELECTRONIC TAX LIABILITY REGISTER
Payment under GST

33. The electronic tax liability register will be maintained in FORM GST PMT-01. [Rule 1 sub-rule (1)]
Payment under GST

34. FORM GST PMT-01 PART-2 : For other than return related liabilities
PART-1 : For Return related liabilities
PART-2 : For other than return related liabilities
Payment under GST

35. Payment under GST

36. In addition to return related liabilities, liabilities (fees) for opting composition, cancellation of registration will also be covered in this part.
Payment under GST

37. Return would be treated as invalid if closing balance of Electronic Tax Liability Register is positive.
Payment under GST

38. The taxpayer would not be able to file return of a tax period if liabilities relating to previous tax period's return are not discharged completely.
Payment under GST

39. Payment under GST

40. Part - II
Reduction or enhancement in the amount due to decision of appeal, rectification, revision, review etc, can be done.
The closing balance (+ve or -ve) in this part shall not have any effect on filing of return.
Payment under GST

41. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
Payment under GST
BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

42. What is Electronic Credit Ledger?
Payment under GST

43. Input Tax Credit as self-assessed in monthly returns will be reflected in the Electronic Credit Ledger.
Payment under GST

44. The electronic credit ledger will be maintained in FORM GST PMT-02
The electronic credit ledger will be maintained in FORM GST PMT-02. [Rule 2 sub-rule (1)]
Payment under GST

45. Payment under GST

46. NO ENTRY shall be made directly in Electronic Credit Ledger under any circumstances.

47. What type of credits are available in Electronic Credit Ledger?
Payment under GST

48. ITC available at the time of Migration
ITC on inward supplies from registered tax payers.
ITC from input services distributor.
ITC at the time of registration on Input of Stock on the day immediately preceding the date from which the taxpayer became liable to pay tax.
ITC on inputs held in stock and inputs contained in semi- finished or finished goods held in stock on the day of conversion from composition scheme to regular tax scheme.
ITC eligible on payment made on reverse charge basis.
Payment under GST

49. How Input Tax Credit in Electronic Credit Ledger should be utilized?
Payment under GST

51. Utilization of credit of available IGST is done in which order?
CGST then IGST then SGST
IGST then CGST then SGST
SGST then CGST then IGST
CGST then SGST then IGST
Payment under GST

52. Which of the following statements is true?
ITC of CGST is first utilized for payment of CGST and the balance is utilized for payment of SGST/UTGST
ITC of SGST is first utilized for payment of SGST and the balance is utilized for payment of CGST
ITC of CGST is first utilized for payment of CGST and the balance is utilized for payment of IGST
None of the Above
Payment under GST

53. The credit in this ledger can be used to make payment of TAX ONLY and not other amounts such as interest, penalty, fees etc.
Payment under GST

54. Is it possible to take refund from Electronic Credit Ledger?
Payment under GST

55. Yes.
As per Section 49(6), refund from Electronic Credit Ledger can be taken in accordance with provisions of Section 54.
The amount to the extent of such shall be debited in the said ledger.
Payment under GST

56. What if the refund application filed stands rejected?
Payment under GST

57. If the refund so filed is rejected, either fully or partly, the amount debited, to the extent of rejection, shall be re-credited to the electronic credit ledger by the proper officer by an order made in FORM GST PMT-3.
Payment under GST

58. Payment under GST

59. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

60. What is Electronic Cash Ledger?
Payment under GST

61. The Electronic Cash Ledger will serve as an Electronic Wallet
The Electronic Cash Ledger will serve as an Electronic Wallet. The taxpayer simply has to add money in this wallet to make any payment under GST.
Payment under GST

62. How to deposit money in Electronic Cash Ledger?
Payment under GST

63. Credit Card or Debit Card of authorized banks NEFT or RTGS
Internet Banking
Credit Card or Debit Card of authorized banks
NEFT or RTGS
Over the counter payments upto Rs. 10,000 per challan per tax period (by cash, cheque or demand draft)
Payment under GST

64. Restriction for deposit upto Rs 10,000 does not applies to :-
Government Departments or any other person as notified by the Commissioner;
Proper officer or any other officer authorised to recover outstanding dues or amount collected during investigation / enforcement activity or any ad hoc deposit;
Payment under GST

65. Where any payment is made by way of NeFT or RTGS, a mandate form shall be generated along with challan and the same shall be submitted to the bank from where the payment is to be made.
Payment under GST

66. What are the major and minor heads of credit in Electronic Cash Ledger?
Payment under GST

67. MAJOR HEADS MINOR HEADS
IGST
CGST
SGST
UTGST
MINOR HEADS
Tax
Interest
Penalty
Any other amount
Payment under GST

68. Is cross utilization permissible among Major Heads in Electronic Cash Ledger?
Payment under GST

69. No, There is no provision in the GST Law
Payment under GST

70. How Electronic Cash Ledger will be maintained?
Payment under GST

71. The electronic cash ledger shall be maintained in FORM GST PMT-05 for each person, liable to pay tax, interest, penalty, late fee or any other amount.
Payment under GST

72. Payment under GST

73. What is the procedure for payment of GST?
Payment under GST

74. A person shall generate a challan in FORM GST PMT- 06
A person shall generate a challan in FORM GST PMT- 06* on the Common Portal and enter the details of the amount to be deposited by him towards tax, interest, penalty, fees or any other amount
*The Challan shall be valid for a period of 15 days.
Payment under GST

75. Payment under GST

76. What will be the date of credit in Electronic Cash Ledger
Payment under GST

77. The date of credit in Electronic Cash Ledger shall be the date on which CIN is issued. CIN will be issued on the date amount is credited to the Government.
Payment under GST

78. What should be done if no CIN is generated after payment?
Payment under GST

79. The taxpayer shall submit FORM GST PMT-7 electronically through common portal to the Bank or electronic gateway through which deposit was initiated.
Payment under GST

80. Payment under GST

81. Can Electronic Cash Ledger be credited by any mode other than bank/cash?
Payment under GST

82. Electronic Cash Ledger will be credited under the following cases also:
Amount deducted under Section 51 (Tax Deduction at Source)
Amount collected under Section 52 (Tax Collection at Source)
Amount paid by the department against any interest, refund, penalty, late fee or any other amount determined under the proceedings under this Act
Payment under GST

83. What is Unique Identification Number (UIN) in transactions?
Payment under GST

84. A UIN shall be generated at the Common Portal for each debit or credit to the electronic cash or credit ledger;
The UIN relating to discharge of any liability shall be indicated in the corresponding entry in the electronic tax liability register.
Payment under GST

85. Payment under GST

86. Payment under GST

87. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

88. Who is liable to deduct TDS?
Payment under GST

89. Governmental agencies; or
A department or establishment of the Central Government or State Government; or
Local authority; or
Governmental agencies; or
Such persons or category of persons as may be notified by the Government
[Section 51(1)]
Payment under GST

90. When does the liability to deduct TDS arises?
Payment under GST

91. TDS is liable to be deducted when the payment made or credited to the supplier of taxable goods or services or both exceeds Rs. 2,50,000 under a contract.
Payment under GST

92. Provided that…
Payment under GST

93. No deduction shall be made if the location of supplier and the place of supply is in a State/Union territory which is different from the State/Union territory of registration of the recipient.
Payment under GST

94. In what format TDS Certificate should be furnished to deductee?
Payment under GST

95. The Deductor shall furnish a certificate to the Deductee in
Form GSTR-7A mentioning therein:
the contract value
rate of deduction
amount deducted
amount paid to the appropriate Government and
Such other particulars as may be prescribed in this behalf,
Payment under GST

96. This certificate is to be furnished within 5 days of crediting the amount so deducted to the appropriate Government,
Payment under GST

97. Failing which, the Deductor would be liable to pay late fee being Rs
Failing which, the Deductor would be liable to pay late fee being Rs. 100 per day during which the failure continues but subject to Maximum of rupees 5000.
Payment under GST

98. Can tax, once deducted, be claimed as refund? Who can claim refund?
Payment under GST

99. Yes. It is possible to claim refund arising on account of excess or erroneous deduction, and this would be governed by the provisions of Section 54. Such refund may be claimed either by the Deductor or the Deductee, but not both.
Payment under GST

100. Further, no refund would be available to the deductor once the amount deducted has been credited to the electronic cash ledger of the deductee.
Payment under GST

101. Who are the persons liable to collect TCS?
Payment under GST

102. E Commerce operator (as defined in Section 2 (45)) is liable to collect the tax at the rate, not exceeding 1% on net value of taxable supply.
Payment under GST

103. What returns are required to be filed by E-Commerce operator?
Payment under GST

104. Tax collecting E-Commerce operator shall use GSTR-8 return to make statement of outward supplies made through him on a monthly basis within 10 days of succeeding month.
Payment under GST

105. In addition, Section 52(5) requires filing of Annual Statement by E Commerce operator on or before 31st December
Payment under GST

106. Details furnished by operator should match with the corresponding details of outward supply of supplier. Discrepancy if any, shall be communicated to both.
Payment under GST

107. If discrepancy is not corrected by supplier, it shall be added to the output tax liability in the succeeding month if value furnished by operator > suppplier Supplier will pay tax with interest on the amount so added.
Payment under GST

108. Information that may be called from operator by way of notice regarding supplies and stock held and managed by such operator on behalf of suppliers shall be submitted within 15 days. Penalty may be levied upto Rs on failing to do so.
Payment under GST

109. OVERVIEW BACKGROUND, TYPES AND MODES OF PAYMENT
ELECTRONIC TAX LIABILITY REGISTER
OVERVIEW
ELECTRONIC CREDIT LEDGER
ELECTRONIC CASH LEDGER
TDS and TCS
RELATED ISSUES
Payment under GST

110. Is it mandatory to show tax charged in invoice?
Payment under GST

111. Yes.
As per Section 33, a person shall always prominently indicate in all documents relating to assessment, tax invoice and other like documents, the amount of tax which shall form part of the price at which such supply is made.
Payment under GST

112. What if a person collects incorrect amount or omits collection of GST in invoice?
Payment under GST

113. It can be rectified in following ways:
If tax charged is higher than the prescribed rate.
Issue Credit Note
As per Section 34(1)
If tax is not charged/ less charged than prescribed rate.
Issue Debit Note
As per Section 34(3)
Payment under GST

114. A person failing to do so shall be liable to pay penalty of Rs 10,000 or tax amount (whichever is higher) as per Section 122(1)
Payment under GST

115. Will receiver get credit if supplier collects tax on higher rate than the prescribed rate?
Payment under GST

116. No provision for blocking of such credit under Section 17
As per Section 16(1) receiver is entitled to take credit on input tax CHARGED.
As per Section 2(62), “input tax” means tax charged on any supply of goods or services or both made to him
No provision for blocking of such credit under Section 17
Payment under GST

117. What happens when tax is collected but not paid to government?
Payment under GST

118. As per Section 76(1) every person who has collected GST from any other person is required to deposit it with Government irrespective of whether the supply was taxable or not.
Payment under GST

119. The said person is also required to pay interest on such amount at the rate specified in Section 50 from the date such payment was collected by him to the date the amount is paid to Government. [Section 76(4)]
Payment under GST

120. an amount equivalent to tax collected but not paid to Government
A person failing to do so for upto 3 months from the date on which such payment becomes due, shall be liable to pay penalty of :-
Rs 10,000, or
an amount equivalent to tax collected but not paid to Government
(Whichever is higher)
[Section 122(1)]
Payment under GST

121. When does the liability for interest arises?
Payment under GST

122. Undue/excess claim of Input Tax Credit
Belated payment of tax
Undue/excess claim of Input Tax Credit
Undue/excess reduction in Output Tax Liability
All of the above
Payment under GST

123. Under Section 50
Sub-section (1) : Delay in payment of tax, in full or in part 2.
Sub-section (3) : Undue or excess claim of input tax credit under section 42 (10) 3.
Sub-section (3) : Undue or excess reduction in output tax liability under section 43 (10)
Payment under GST

124. It may also be recalled that –
Section 42 (10) CGST/SGST Act deals with contravention of provisions for matching of claims for input tax credit by a recipient and
Section 43 (10) CGST/SGST Act deals with contravention of provisions for matching of claims for reduction in output tax liability by a supplier
Payment under GST

125. What happens when tax is paid on transaction considered as intra-State supply but subsequently held to be an inter-State supply OR vice-versa?
Payment under GST

126. CGST and SGST will be refunded
Type of Sale
Applicable
Tax
Actually paid
Rectification
Interest/
Penalty
Section
Intra-State
CGST and SGST
IGST
IGST will be refunded.
Pay CGST and IGST No
19 of IGST Act
Inter-State
Pay IGST.
CGST and SGST will be refunded
77 of CGST Act
Payment under GST

127. What happens if return is filed without payment of tax?
Payment under GST

128. In such cases, the return is not considered as a valid return
In such cases, the return is not considered as a valid return. Section 2(117) provides that the return furnished by a taxable person shall not be treated as valid return unless the full tax due as per the said return has been paid.
Payment under GST

129. No ITC will be allowed to the recipient,
unless the tax charged in respect of supply has been actually paid to the Government either in Cash or through utilization of ITC.
Payment under GST

130. How can an unregistered person make payment under GST?

131. Any payment required to be made by a person who is not registered under the Act, shall be made on the basis of a Temporary Identification Number generated through the Common Portal. [Rule 3 sub-rule (4)]
Payment under GST

132. When an unregistered person is liable to pay GST?
Payment under GST

133. Persons who are granted Unique Identity Number under Section 25(9) :-
As per Section 7(1)(b), import of services for a consideration whether or not in the course or furtherance of business
Persons who are granted Unique Identity Number under Section 25(9) :-
any agency of the UNO, Multilateral Financial Institution, Consulate or Embassy of foreign countries, etc;
any other person or class of persons, as notified by the Commissioner
Payment under GST

134. Thank You.
Payment under GST