Effective 1st July 2017, GST has been brought in as India’s revolutionary and biggest tax system overhaul since Independence. GST has replaced a plethora of indirect taxes such as states’ sales tax, service tax, excise, etc., with a single central tax regime applied uniformly on all products and services. However, GST has multiple tax rate slabs for different categories of products – a fact that still makes it more complicated than many expected.
GST is already 3 years old and we have seen a major shift in the way taxes are filed in this period. GST was launched with an intention to bring the whole system of indirect tax filing and compliances online. Most of the flourishing economies of the world have shifted to digitalization when it comes to tax compliances and GST is no exception.
Currently, almost all GST related compliances including filing of monthly/quarterly/ annual returns, claim of Input Tax Credit (ITC), raising of credit/debit notes, generation of e-way bills, GST Reconciliation Statements in Form 9/9C etc.have to be done in an electronic mode.
Filing GST tax returns online is mandatory under the GST regime and this requires an understanding of the online filing process. This shift is a major shift from the erstwhile system where paper filing was allowed. The GST Council has brought about many changes to ease the burden on the industry and has been reducing the number of forms required to be filed for online tax filing of GST returns.
The major digitization that has come about in GST is the introduction of E-way bills that has replaced the traditional physical delivery challans that were needed to be carried by transporters and copies were needed to be kept by the consignor and consignee as well. These physical delivery challans have been completely replaced by E-way bills that are now needed to be produced on the E-way bill portal for every transport/carriage of goods above the value Rs 50,000. The rules governing generation and management of E-way bills are defined by the GST law and every E-way bill has a unique EWB number that is generated against each invoice of goods that are being transported.
This system has done away with the requirement of maintaining physical copies of delivery challans and has also made the transport on highways smoother and faster with no need to check physical copies. Sooner or later these E-way bills will be integrated with NHAI’s FASTag mechanism and DMICDC’s Logistics Data Bank (LDB) services, to facilitate faster movement of goods and check GST evasion. The proposal, according to officials, will improve operational efficiencies across the country’s logistic landscape.
The GST Council in its 35th Council Meeting has also announced that e-invoicing, which essentially means the generation of sales invoices directly on the GST portal would be made mandatory for certain B2B businesses having a turnover above a set threshold. This is another step towards digitization of tax compliances where invoices would be directly prepared on the portal and there would be no need to report them separately. An IRN – Invoice reference number would also be generated on the portal against each invoice that will be used to quote against the invoice. This IRN will eventually also replace E-Way bills too.
CBIC, in line with CBDT’s income tax faceless e-assessments, is actively working on introducing and implementing faceless e-assessments in GST. In such faceless assessments,the conventional manual mode of conducting of regular assessments involving physical interface and verbal communication between the taxpayers and the assessing authorities will be completely done away with and all the communication/interface between the taxpayers and the assessing authorities will be done electronically only via the GSTN portal.
TaxAaram, on receiving the necessary e-mandate/authorization from its valued registered userswill render its seamless and hassle-free e-services in relation to the GST related e-compliances including GST registrations, preparing and e-filing of monthly/quarterly/annual GST Returns, GST Reconciliation Statements in Form 9/9C, preparation and representation of effective and qualitative e-submissions in response to GST assessment/appeal notices, in a faceless and paperless manner.
The registered users will get such e-services, in the most professional and cost-effective manner, within the comforts of their homes, without even the requirement of visiting the GST department or tax consultants’ office.
The ‘e-applications/returns/submissions/reports prepared and brainstormed by ‘TaxAaram’ will be available to be viewed and approved by the registered users electronically before being uploaded in the GSTN portal.
This revolutionary and path-breaking e-service in relation to all the GST e-compliances, is taxpayer friendly and cost-effective as besides saving precious time of the registered users, it will also provide them with a 24X7 anytime/ anywhere access to the ‘e-applications/returns/submissions/reports’, documents and information filed electronically on the GSTN portalby TaxAaram, on behalf of its registered users.