Composition scheme biz need not file purchase details under GST
Businesses opting for composition scheme under GST need not file purchase details while filing their quarterly returns.
In a clarification, the finance ministry has said there have been doubts regarding the manner of filing the quarterly return by composition dealers in Form GSTR-4 in the absence of auto-population of the details of inward supplies received from registered suppliers.
“In this regard, it is to clarify that the taxpayers who have opted to pay tax under the composition levy shall not furnish the data in serial number 4A of Table 4 of Form GSTR-4,” the ministry said in a statement.
Serial number 4A of Table 4 of Form GSTR-4 gives details of purchases made from GST registered vendors.
Over 18 lakh businesses opted for composition scheme under the new indirect tax regime. This allows them to pay taxes at a concessional rate and makes compliance easy. Businesses with annual turnover of up to Rs 1 crore can opt for the scheme.
The last date for filing GST returns for the July-September quarter for such dealers is October 18. Tax practitioners have welcomed the government move to issue clarification for composition dealers.
“This clarification would help address the ambiguities which some of the composition dealers had on this disclosure requirement; specifically in the light of the auto-population facility not being available,” EY tax partner Abhishek Jain said.
Source :- Asianage.com