Form GSTR-4 Due Date Extension
Form GSTR-4 Due Date Extension
Form GSTR-4 is a quarterly GST return that must be filed by a person enrolled under the GST Composition Scheme. The time limit to file GSTR-4 annual returns for the financial year 2019-2020 had been extended till July 15, 2020, on April 3, 2020. After the extension announced there were several representations for further extension of form GSTR-4 due dates. Considering this, The Central Board of Indirect Taxes and Customs (CBIC) extends the due date for filing form GSTR-4 till August 31, 2020.
Gist of Notification
The Central Board of Indirect Taxes and Customs (CBIC) vide its notification No. 59/2020-Central Tax dated 13.07.2020 extends the due date of filing form GSTR-4 till August 31, 2020, by amending the Notification No. 21/2019- Central Tax dated April 23, 2019. This notification specifies the guidelines for registered persons paying taxes under Section 10 of the Central Goods and Service Tax Act, 2017, which is related to composition levy.
For extension, CBIC amends the first provision of the third paragraph of the said Notification, to extend the due date of Form GSTR-4 till “August 31, 2020” instead of “July 15, 2020”.
GSTR- 4 Filing – Annual Return for Composition Scheme
GSTR-4 is an annual return that must be filed by those enrolled under the GST Composition Scheme. Businesses registered under the GST Composition Scheme, are required to file one return every year and pay a flat GST tax based on the sales turnover. Not all businesses entities can be registered under the GST composition scheme. Only entities with an annual turnover of less than Rs.1.5 crore and satisfying other criteria can be enrolled under the Composition Scheme.
GST Composition Scheme
The GST composition scheme is designed to help small taxpayers having a turnover of up to Rs.1.5 crore per annum (North-Eastern states and Himachal Pradesh, the limit is Rs.75 lakh.) with a simple GST compliance mechanism. Entities registered under the GST composition scheme will be able to pay tax at prescribed rates and file GST returns.
Service providers are not eligible to be enrolled under the GST composition scheme, expect for restaurant service providers.
Under the scheme, manufacturers and traders are needed to pay GST at 1 percent, while it is 5 percent for restaurant service providers (which do not serve alcohol).
Form GSTR-4 Return Filing
To help taxpayers to file GSTR-4 return offline, Goods and Service Tax Network (GSTN) provides the Excel-based GSTR 4 Offline Utility. Taxpayers can file form GSTR-4 return by uploading the JSON file generated from the Offline utility to the GST portal.
Know more about Form GSTR-4 Return Filing
FORM GST CMP-08
The composition scheme taxpayers also need to file a self-assessed tax return in a one-page statement, i.e. Form GST CMP 08 as per the Central Goods and Service Tax Rules, 2017. The taxpayer needs to file this quarterly return by the 18th day of the month.
Penalty for GSTR-4 Late Filings
A late fee of Rs.200 per day will be levied if the form GSTR- 4 is not filed within the due date. The maximum late fee should not exceed Rs. 5,000.
The CBIC’s notification pertaining to the Form GSTR-4 Due Date Extension is attached below for reference.
notfctn-59-central-tax-english-2020