All the assesses covered under the composition scheme can now file the annual GST (Goods and Services Tax) returns under GSTR 4 due date, for the financial year 2019-20, by 31st August 2020. The date has been extended by the Central Board of Indirect Taxes and Customs (CBIC) from 15th July 2020 to 31st August.
Any assessee whose annual turnover is less than Rs. 1.5 Crore can opt for the composition scheme under the GST regime. All the manufacturers and traders under the scheme are required to pay 1% GST while others are required to pay 5% for the restaurants (not for alcohol).
Composition Taxpayers can Now File GSTR-4 on GST Portal
The Central Board of Indirect Taxes and Customs (CBIC) has introduced an option for the composition taxpayers to file form GSTR 4 online on the GST portal. The GSTR 4 form is required to be filed by all the composition taxpayers, annually for each financial year, with effect from 1st April 2019.
Who is Required to File?
All the assessees who are covered under the composition scheme or have opted for the scheme in the past, are required to file the form, starting from 1st April 2019, annually.
Who can File NIL under Form GSTR4?
Any assessee can file NIL form under GSTR 4, if he/she satisfies any one of the following condition in each quarter of the financial year:
- NOT made any outward supply
- NOT received any goods/services
- Have NO other liability to report
- Have filed all Form CMP-08 as Nil
Extended Last Date to File Form GSTR 4 for FY 2020-21
The last date to file annual returns of the form is the 30th of the month in which it was previously filed last year.
|Period||Extended Due Date|
|Annual Return||30th April 2021|
Latest Update: for the registered person in the fiscal year 2019-20 the Central Board of Indirect Taxes and Customs (CBIC) refrain the late fees on the delay in filing the FORM GSTR-4 in the Union Territory of Ladakh Read Notification
Latest Update: Relaxation to Composition Taxpayers in late fees for hold-up filing of Form GSTR-4 Quarterly Return:
|Form||For any Tax period of the FY||Late fees, if Tax liability is NIL||Late fees, in case of any Tax Liability|
|GSTR-4 (Quarterly Return)||2017-18 & 2018-19||No late Fee||Rs 500 per return (Rs 250 for CGST & Rs 250 for SGST)|
How to File Form GSTR 4
- Login to your dashboard
- Click on Services
- Annual Return
- Select FY
- GSTR 4
- File the return
Latest Update & Notification
- “for the registered person in the fiscal year 2019-20 the Central Board of Indirect Taxes and Customs (CBIC) refrain the late fees on the delay in filing the FORM GSTR-4 in the Union Territory of Ladakh Read Notification
- “Form GSTR-4 Annual Return by Composition Taxpayers, for the FY 2019-20, is now available for filing.”
- “GSTR 4 return revisions under 32nd GST council meeting: File annually return instead of quarterly along with tax paid to be a quarterly basis.”
- “Waiver/reduction grant in the late fees in the concerning Form GSTR 4 furnishing of 2017-18 and 2018-19 and the conditions subjected to the return filing b/w 22.09.2020 to 31.10.2020. Read Notification
- GSTR 4 filing is fixed for 30th April for every year however in 2020 due to COVID 19, the due date has been set at 31st august.
- An assessee can file the form GSTR4 if he has also filed form CMP 08 for all the quarters during the financial year.
- Once the return under form GSTR 4 is filed, it can not be undone.
- The assessee will be informed through SMS and email after successful filing and generation of ARN.
- Presently, only an online tool is introduced but soon an offline tool will also be introduced for filing form GSTR 4.
Update for Composition Dealers in 32nd GST Council Meeting:
1. The limit of the composition dealers has been increased to Rs. 1.5 Crore. This is applicable for 1st April 2019.
2. The composition rate for services sector has been fixed at 6 percent while the composition limit has been set at Rs 50 lakh.
3. The GSTR 4 return (Composition Dealers) will have to avail pay tax quarterly basis but the return will be filed only once a year.
These categories of taxpayers are not liable to file GSTR 4 including, Non-resident Taxable Person, Taxpayers liable to collect TCS, Input Service Distributors, Taxpayers liable to deduct (TDS), Composition Dealers, Compounding taxable person, Suppliers of OIDAR (Online Information and Database Access or Retrieval).
How form GSTR 4 is Different from the Quarterly Returns
Form GSTR 4 is quite different from the returns which are required to file quarterly.
- The form can be filled by the composition taxpayers starting from 31st August 2019.
- For the period before that, the assesses were required to file GSTR 4 returns quarterly. Now the assessees are required to file form CMP 08, quarterly and form GSTR 4, annually.
Penalty & Late Fees
- The dept has fixed the late penalty of INR 200 per day in case of not filing GSTR 4 till the due date.
- No more than Rs. 5,000 can be charged as a late fee.