Guide to Remitting GST Dues Using Form CMP-08 on the GST Portal

This article outlines the essential steps for taxpayers registered under the GST composition scheme to file Form CMP-08 on the GST portal. It details the process from logging in and declaring quarterly self-assessed tax to generating and making payments via challan. The guide also notes that CMP-08 replaced the quarterly GSTR-4, which is now filed annually.

📖 2 min read read🏷️ GST Composition Scheme Filing

All taxpayers enrolled under the GST composition scheme, including service providers, are mandated to file Form CMP-08. This quarterly declaration facilitates the reporting and payment of self-assessed tax, with a deadline of the 18th day of the month succeeding each quarter.

The GSTN activated the CMP-08 filing function on July 29, 2019. This form superseded the previous quarterly GSTR-4 for fiscal year 2019-20 and subsequent periods. Consequently, composition taxpayers must now submit GSTR-4 on an annual basis, commencing April 2020 for the financial year 2019-20, as stipulated by Central Tax (Rate) Notification No. 2/2019 dated March 7, 2019.

Steps for Filing CMP-08 on the GST Portal

The procedure for filing GST Form CMP-08, which involves paying self-assessed tax, is outlined below:

Step 1: Access the CMP-08 Section on the GST Portal

Log in to your GST account and proceed to the return dashboard. Locate the 'CMP-08' tile. Select the appropriate financial year and the specific quarterly filing period. After selecting, click 'SEARCH'. Then, choose 'PREPARE ONLINE' for the CMP-08 form, which is the statement for self-assessed tax payment.

Step 2: Input Tax Liability Information in CMP-08 Form Table 3

Complete Table 3 of the CMP-08 form with details of your supplies and the corresponding tax due for the three-month period. If applicable, include any interest charges for late submission of CMP-08. If there is no tax liability, select the option to 'File Nil GST CMP-08'.

Step 3: Save Entered Details

Click the 'SAVE' button to store the information you have provided.

Step 4: Preview the Draft CMP-08

Before proceeding with tax payment, select 'PREVIEW DRAFT GST CMP-08' to verify the accuracy of the entered details. This action will lead to a download page for the draft form.

Step 5: Initiate Filing Process

Click 'Proceed to File' to continue with the submission of GST CMP-08.

Step 6: Settle Tax Liability and File CMP-08

Make the required payment for the declared liability. You can utilize the existing balance in your electronic cash ledger. If the ledger balance is insufficient, click 'Create Challan' to generate a payment challan using options like NetBanking or NEFT.

Step 7: Generate Challan

Upon clicking 'Create Challan', a page will appear showing the total challan amount in both numerical and textual formats. Choose your preferred payment method (E-Payment, Over the Counter, NEFT, or RTGS) and then click the 'Generate Challan' button.

Step 8: Download or Make Payment

After the challan is successfully generated, taxpayers have the option to either click the 'Download' button to view the generated challan or proceed directly by clicking the 'Make Payment' button.

Step 9: Verify and Finalize

Return to the 'Returns Dashboard'. You should observe that no additional cash is required. To review the finalized GST CMP-08, click 'PREVIEW DRAFT GST CMP-08 (PDF)'. The document will then be presented in PDF format.

Frequently Asked Questions

What is the Goods and Services Tax (GST) in India?

The Goods and Services Tax (GST) is an indirect tax implemented in India since July 1, 2017. It replaced multiple cascading taxes levied by central and state governments, aiming to streamline the tax structure and create a unified national market.

Who is required to register under GST?

Businesses and individuals engaged in the supply of goods or services with an aggregate turnover exceeding a specified threshold limit (which varies based on state and type of supply) are generally required to register under GST. Voluntary registration is also available.

What are the different components of GST in India?

GST in India consists of four main components: Central GST (CGST) levied by the Central Government, State GST (SGST) levied by state governments, Integrated GST (IGST) levied by the Central Government on inter-state supplies, and Union Territory GST (UTGST) for supplies within Union Territories.

How does the Input Tax Credit (ITC) mechanism work under GST?

Input Tax Credit (ITC) allows businesses to claim credit for the GST paid on purchases of goods and services used for business purposes. This credit can then be utilized to offset the GST liability on their outward supplies, preventing the cascading effect of taxes.

What are the penalties for non-compliance with GST regulations?

Non-compliance with GST regulations, such as late filing of returns, non-filing, or incorrect reporting, can lead to various penalties including late fees, interest on delayed payments, and monetary penalties, depending on the nature and severity of the offense.