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Understanding GSTR-9B: Scope, Thresholds, Deadlines, and Sanctions

GSTR-9B is an annual GST return specifically for e-commerce operators who collect Tax Collected at Source (TCS) and exceed a specified turnover threshold. It summarizes yearly sales, taxes, and input tax credits, helping the government verify monthly filings. Although detailed in CGST Rules, the form has not yet been officially notified by CBIC, rendering current penalties inapplicable. Once active on the GST portal, it will consolidate monthly GSTR-8 data, with a general due date of December 31st.

📖 3 min read read🏷️ GSTR-9B Compliance

The Goods and Services Tax (GST) framework in India mandates various reporting requirements and specific forms for different business activities. For operators involved in e-commerce, GSTR-9B is an important annual disclosure form. This document provides a yearly overview of their operations. Let's delve into the specifics of GSTR-9B.

What is GSTR-9B?

GSTR-9B functions as an annual summary statement, consolidating an e-commerce operator's total sales, collected taxes, and claimed input tax credits (ITC) for the entire financial year. It is mandatory for any platform that collects Tax Collected at Source (TCS) as per Section 52 of the Central Goods and Services Tax (CGST) Act. This form assists the government in reconciling and verifying the accuracy of monthly filings.

Is GSTR-9B Notified?

Although GSTR-9B is mentioned within the CGST Rules, the Central Board of Indirect Taxes and Customs (CBIC) has not yet officially notified this form.

GSTR-9B Applicability

This annual return applies to e-commerce operators who have an annual turnover exceeding INR 20 lakh and are required to collect TCS under Section 52 of the CGST Act. This threshold ensures that the compliance burden is primarily placed on larger entities with significant turnovers, exempting smaller businesses.

Exempted Taxpayers

Certain types of taxpayers are not required to file GSTR-9B, including:

  • Input service distributors
  • Non-resident taxable persons
  • Casual taxable persons
  • Taxpayers under the composition scheme (unless they are required to file GSTR-9A)
  • Persons responsible for deducting Tax Deducted at Source (TDS)

Contents of GSTR-9B

GSTR-9B consolidates the information reported by e-commerce operators in their monthly GSTR-8 filings throughout the financial year.

GSTR-9B Due Date and Penalty

The typical filing deadline for GSTR-9B is December 31st following the end of the relevant financial year. Failure to meet this deadline would ordinarily incur penalties. However, since the form has not yet been formally notified, these penalties are currently not applicable.

According to GST law, the prescribed fines are:

  • INR 100 per day under CGST
  • INR 100 per day under SGST

These daily penalties can accumulate up to a maximum of 0.25% of the e-commerce operator\r\e\t\rs total turnover.

GSTR-9B Filing Procedure

The GSTR-9B form is not presently active on the official GST portal. While the government portal does not provide specific instructions for this form yet, it is anticipated that once it goes live, taxpayers will be able to access it via the \r\e\t\rReturns dashboard\r\e\t\r and select the GSTR-9B return option.

Further Reading

Frequently Asked Questions

What is the Goods and Services Tax (GST) system in India?
The Goods and Services Tax (GST) is a comprehensive, multi-stage, destination-based tax levied on every value addition in India. It replaced various indirect taxes to create a unified tax market.
Who is required to register for GST?
Businesses typically need to register for GST if their aggregate turnover exceeds a specified threshold (e.g., INR 20 lakh or INR 10 lakh for special category states) in a financial year, or if they are involved in inter-state supply of goods or services.
What is Input Tax Credit (ITC) under GST?
Input Tax Credit (ITC) allows businesses to reduce the tax they pay on their output by the tax they have already paid on inputs. It prevents the cascading effect of taxes by providing a credit for taxes paid on purchases.
How many types of GST are applicable in India?
There are four main types of GST in India: Central GST (CGST) collected by the Central Government, State GST (SGST) collected by State Governments, Integrated GST (IGST) for inter-state transactions, and Union Territory GST (UTGST) for Union Territories.
What are the common GST compliance requirements for businesses?
Common GST compliance requirements include obtaining GST registration, issuing GST-compliant invoices, maintaining proper records, and filing various monthly, quarterly, and annual GST returns such as GSTR-1, GSTR-3B, and GSTR-9.
What is the turnover limit for GSTR-9B?
The threshold is Rs.20 lakh annually for e-commerce operators.
What is the penalty for GSTR-9B?
The penalty is Rs.100 per day under both CGST and SGST, capped at 0.25% of turnover.
How to download GSTR-9B?
Log into the GST portal, navigate to the annual return section, and download the GSTR-9B format.
Who needs to file GSTR-9B?
e-Commerce operators collecting TCS with an annual turnover above Rs.20 lakh are obligated to file.