1. 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
CA Jayesh Rawal
Mob:

2. 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.

3. 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

4. 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

5. 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)

6. 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).

7. 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.

8. 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

9. THANKS AND REGARDS CA Jayesh Rawal Mob: