Intermediaries Out of GST Ambit As Per 37th GST Council Meeting

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The 37th GST council took the decision to not to levy GST on the intermediary deals applicable on the various international transactions. However, the decision has not come through the notification.

As per the decisions, it is cleared that the intermediaries giving services to the person receiving supply and the recipient of the goods are from outside India will not come under the GST tax ambit.

Currently, there is an 18% GST applicable to the intermediaries who are giving services to the outsider of India. There is a defined definition of the intermediary in the GST act.

It states that “a broker, an agent or any other person who arranges or facilitates the supply of goods or securities or services between two or more persons.”

While it does exclude the person who is supplying the goods and services and even both of them on his own account. The rule is applicable to the export of the services of the intermediary to the outside of India.

But both the giving and receiving of goods and services and the intermediary location are all different under which the latter is inside the India which makes him out of the ambit of GST as per the decision of GST council.

If the outward supply is made there has to be input tax credit reversed making the transaction tedious for both the taxpayer as well as the government.

It is to be seen how the decision will affect the intermediary service providers to outside of India which an impact on their cash flow due to the no input tax credit claim.

There is no notification in this regard, therefore, the decision is still not affixed.

Current GST Return Due Dates for GSTR 1 GSTR 3B GSTR 4 to 9

The government releases the GST return forms details which are mandated to be filed according to the due dates under GST mentioned in the attached notification. The submission and uploading of the returns are totally online. We have mentioned all the GST return filing due dates along with their respective associated GST forms such as GSTR 1, GSTR 3B, GSTR 4, GSTR 5, GSTR 6, GSTR 7, GSTR 8, GSTR 9, GSTR 9A, GSTR 9C in FY 2019-20 etc.

Find GST Forms’ Current Due Dates Below:

  • GSTR 1 Due Date (Turnover up to 1.5 Crore) | GSTR 1 (Turnover more than 1.5 Crore)
  • GSTR 3B Due Date
  • GSTR 4 Due Date
  • GSTR 5 Due Date | GSTR 5A Due Date
  • GSTR 6 Due Date
  • GSTR 7 Due Date
  • GSTR 8 Due Date
  • GSTR 9 Due Date | GSTR 9A Due Date | GSTR 9C Due Date

GST Calendar of Return Filing Due Dates in October 2019

Government announce GST return filing due dates from time to time in order to maintain taxation in line with respective clearance. Also, the main effort is to alert the taxpayers regarding the GST return filing due dates is to make them neglect any penalty or interest. Here we are offering GST due dates calendar for October 2019 for all the registered taxpayer under indirect tax regime to make them aware of the time period as of when to get their GST return filing done on time.

As GSTR 1 & GSTR 3B is to be filed every month, there is a greater need of getting regular updates/notification based on GST due dates calendar for avoiding any interest and penalty. Also, there is GST CMP 08 for the composition scheme dealers but it has to be filed every quarter lowering down the need for regular updates on GST due date filing calendar.

GST Return Form NameFiling PeriodDue Dates in October 2019
GSTR 7Monthly10th October
GSTR 8Monthly10th October
GSTR 1Monthly11th October
GSTR 6Monthly13th October
GSTR 3BMonthly20th October

Note: The revised due dates and above announcements have been implemented under official CBEC GST notification & latest GST circulars/orders by Govt. CBIC department

GST Return Filing Due Dates Chart 2019

All these changes are described below:

GSTR 1 Due Dates (T.O. up to INR 1.5 Crore)

Period (Quarterly)Last Dates
October – December 201931st January 2020
July – September 201931st October 2019
April – June 201931st July 2019
How to File GSTR 1 with Complete Online Return Filing Procedure

GST Return 1 Due Date (T.O. More Than INR 1.5 Crore)

Period (Monthly)Last Dates
October 201911th November 2019
September 201911th October 2019
August 201911th September 2019
July 201911th August 2019 | Note: “The due date extended till 20th September 2019 for notified districts of Bihar, Gujarat, Karnataka, Kerala, Maharashtra, Odisha, Uttarakhand and also for registered persons whose principal place of business is in J&K.” Notification Here
June 201911th July 2019
May 201911th June 2019
April 201910th June 2019 for Odisha,  Read Notification
March 2019Revised – 13th April 2019 | Read Notification
February 201911th March 2019
January 201911th February 2019

Note:

  • “The late fee shall be completely waived in case of GSTR-1 for the time period of months/quarters July 2017 to September 2018, which are furnished after 22nd December 2018 but on or before 31st March 2019”
  • “All the newly migrated taxpayers, a due date extended for furnishing GSTR-1 for the time period of quarterly July 2017 to December 2018 respectively till 31st March 2019”
  • The filing of GSTR-2 and GSTR-3 has been suspended by the Committee of Officers, which will resume after 30th June 2018. The detailed schedule shall be updated accordingly. The further months of filing for GSTR-1 and GSTR 3B are also decided to be filed till for 6 more months as announced by GST council meeting.


GSTR 3B Form Filing Due Dates

Period (Monthly)Due Dates
September 201920th October 2019
August 201920th September 2019
July 201922nd August 2019 | Note: “The due date extended till 20th September 2019 for notified districts of Bihar, Gujarat, Karnataka, Kerala, Maharashtra, Odisha, Uttarakhand and also for registered persons whose principal place of business is in J&K.” Notification Here
June 201920th July 2019
May 201920th June 2019
April 201920th June 2019 (Odisha) | Read Notification
April 201920th May 2019
March 201923rd April 2019 (Revised)
February 201920th March 2019
January 201922nd February 2019 (Due Date Revised) |  28th Feb 2019 for J&K Read Notification
December 201820th January 2019
November 201820th December 2018
October 201820th November 2018
Guide to File GSTR 3B with Online Return Filing Procedure

Note:

  • “The late fee shall be completely waived in case of GSTR-3B for the time period of months/quarters July 2017 to September 2018, which are furnished after 22nd December 2018 but on or before 31st March 2019”
  • “All the newly migrated taxpayers, a due date extended for furnishing GSTR-3B for the time period of July 2017 to February 2019 respectively till 31st March 2019”

GST Return 4 (CMP 08) Quarterly Payment Filing Due Dates for FY 2019-20

Period (Quarterly)Due Dates
1st Quarter – April to June 201931st August 2019 | Due Date Extended in 36th GST Council Meeting
2nd Quarter – July to September 201918th October 2019
3rd Quarter – October to December 201918th January 2020
4th Quarter – January to March 202018th April 2020
GSTR 4 Guide with Step by Step Filing Procedure

Note: 

  • GSTR 4 return revisions under 32nd GST council meeting: File annually return instead of quarterly along with tax paid to be the quarterly basis.

GST Return 5 (Non-Resident Foreign Taxpayers) Monthly Filing Due Date

Period (Monthly)Due Dates
September 201920th October
August 201920th September
July 201920th August 2019
June 201920th July 2019
May 201920th June 2019
April 201920th May 2019
March 201920th April 2019
February 201920th March 2019
January 201920th February 2019
December 201820th January 2019
November 201820th December 2018
GSTR 5 Onlne Filing Procedure

GST Return 5A (Non-Resident OIDAR Service Provider) Filing Due Date

Period (Monthly)Due Dates
September 201920th October 2019
August 201920th September 2019
July 201920th August 2019
June 201920th July 2019
May 201920th June 2019
April 201920th May 2019
March 201920th April 2019
February 201920th March 2019
January 201920th February 2019
December 201820th January 2019
November 201820th December 2018
GSTR 5A Online Filing Procedure

Due Dates for GSTR 6

Return MonthlyDue Date
October 201913th November 2019
September 201913th October 2019
August 201913th September 2019
July 201913th August 2019 | Note: “The due date extended till 20th September 2019 for notified districts of Bihar, Gujarat, Karnataka, Kerala, Maharashtra, Odisha, Uttarakhand and also for registered persons whose principal place of business is in J&K.” Notification Here
June 201913th July 2019
May 201913th June 2019
April 201913th May 2019
March 201913th April 2019
February 201913th March 2019
January 201913th February 2019
December 201813th January 2019

Note:- TRAN-2 July to December 2017 has been announced to be filed until 30th June 2018.

GSTR 7 Due Date for TDS Deductor

Return MonthlyDue Dates
October 201910th November 2019
September 201910th October 2019
August 201910th September 2019
October 2018 to July 201931st August 2019 | Read CBIC Notification
Note: “The due date extended till 20th September 2019 for notified districts of Bihar, Gujarat, Karnataka, Kerala, Maharashtra, Odisha, Uttarakhand and also for registered persons whose principal place of business is in J&K.” Read Notification
GSTR 7 Online Filing Guide

GSTR 8 Due Date for TCS Collector

Return MonthlyDue Date
October 201910th November 2019
September 201910th October 2019
August 201910th September 2019
July 201910th August 2019
June 201910th July 2019
May 201910th June 2019
April 201910th May 2019
March 201910th April 2019
February 201910th March 2019
January 201910th February 2019
October, November & December 20187th February 2019 | Read Official ROD Here
GSTR 8 Online Filing Guide

Due Date for GST Return 9 Annual Form

Return AnnuallyRevised Due Date
GSTR 9 (Annual Return) FY 2017-1830th November 2019 (Check Order No. 7/2019-Central Tax)
GSTR 9 (Annual Return) FY 2018-1931st December 2019
GSTR 9 Online Filing Guide

Note: Filing of form GSTR-9 for those taxpayers who (are required to file the said return but) have aggregate turnover up to Rs. 2 crores made optional for the said tax periods for FY 2017-18 and FY 2018-19 by GST Council 37th meeting. Read Official Press Release

Due Date for GST Audit Form 9C

Return AnnuallyRevised Due Date
GSTR 9C (GST Audit Form) FY 2017-1830th November 2019 (Check Order No. 7/2019-Central Tax)
GSTR 9C (GST Audit Form) FY 2018-1931st December 2019
GSTR 9C Online Filing Guide

Due Date for GST Return 9A Composition Annual Form

Return AnnuallyRevised Due Date
GSTR 9A (Composition Annual Return) FY 2017-1830th November 2019 (Check Order No. 7/2019-Central Tax)
FY 2018-1931st December 2019
GSTR 9A Online Filing Guide

Note: Waiver of the requirement of filing GSTR-9A form for the said tax periods (FY 2017-18 and FY 2018-19) by GST Council 37th meeting. Read Official Press Release

Due Date for GSTR 10

ReturnDue Date
GSTR 103 months of the registration cancellation date or order cancellation date, whichever comes late

Regular Last Dates of GST Return for Indian Tax Payers

GST FormsGST Due DatesAssociated Tax Payers
GSTR 1Divided into 2 categories, Up to 1.5 Crores (Last Day of the Succeeding Month Quarterly) and More than 1.5 Crores (11th Day of the Succeeding Month Monthly)Regular Dealers Outward Supplies (Sales)
GSTR 1AOutward supply details of Business unit Corrected or Deleted
GSTR 2To be updatedRegular Dealers Inward Supplies (Purchase)
GSTR 2AInward supply reconciliation in Form GSTR-1 by the supplier to business
GSTR 3To be updatedRegular Dealers Monthly Return
GSTR 3ANotice of failure of returns furnishing to the registered taxpayer
GSTR 3B20th of Next Month (Only from July 2018 to March 2019)All Dealers
GSTR 4AnnuallyComposite Dealers
GSTR 4AInward supplies reconciliation under composition scheme in form GSTR-1 as supplier furnished
GSTR 520th of Next MonthNon-Resident
GSTR 613th of Next MonthInput Service Distributors
GSTR 6AInward Supplier reconciliation by ISD in form GSTR-1 as supplier furnished
GSTR 710th of Next MonthTDS Returns
GSTR 7ACertificate of TDS
GSTR 810th of Next MonthE-Commerce Operators
GSTR 931st December of Next F.Y.Registered Taxable Person
GSTR 9A31st December of Next F.Y.Taxpaying compounding of Annual return
GSTR 9C31st December of Next F.Y.GST Audit Form
GSTR 10Within three months of the date of cancellation or date of cancellation order, whichever is laterFinal Return for the taxpayer after surrendering or cancellation of the registration
GSTR 1128th of Next MonthInward supplies statement for the person having UIN

Interest on Late GST Payment and Penalty on Missing GST Return Due Dates

The GST Council has decided to levy interest of 18 percent on the late payment of taxes under the GST regime. The interest would be levied for the days for which tax was not paid after the due date. You can read more details of the GST penalty provision in chapter 10, part 50 at this link  https://cbec-gst.gov.in/CGST-bill-e.html

Let’s understand this by an example:  If the total tax liability of a person is Rs. 1,000 and doesn’t pay tax continuously for a few days after the due date, then the interest amount will be calculated as 1000*18/100*1/365= Rs. 0.49 per day approx. So, the person will have to pay this much interest each day after the due date.

In case if a taxpayer does not file his/her return within the due dates mentioned above, he shall have to pay a late fee of Rs. 50/day i.e. Rs. 25 per day in each CGST and SGST (in case of any tax liability) and Rs. 20/day i.e. Rs. 10/- day in each CGST and SGST (in case of Nil tax liability) subject to a maximum of Rs. 5000/-, from the due date to the date wheGST Due Dates: GSTR 1 GSTR 3B GSTR 4 GSTR 5 GSTR 6 GSTR 9n the returns are actually filed.

Recommended – Due Dates of GST Payment Along with Penalty Charges on Late Payment

GST Return Forms in Brief with Due Dates

GSTR 1 – The form is associated with every registered dealer who is under the regular scheme will have to file their outward supplies (sales) within 40 days from the end of the month.

GSTR 2 (Only for Regular Dealers Inward Supplies – Temporarily Closed) – The GST due date for the form is to be decided by the committee and the data can be uploaded on a daily basis whenever required.

GSTR 3 (Only for regular dealers Monthly return -Temporarily Closed) – The due date for the form is to be decided by the committee.

GSTR 3B (Summary Return Filing Form for Regular Dealers) – 20th of Next Month (Only from July 2018 to March 2019)

GSTR 4 (For composite dealers Quarterly Return) – The GST due date for the form is on or before 18th of next month after the end of the quarter in which the return is filed and it must be of previous three months.

GSTR 5 (Return for Non-Resident) – The due date for the submission of the form is 20th of next month and at the time of closure of the business within 7 days.

GSTR 6 (Input Service Distributor) – The GST due date for return filing for GSTR 6 form is 13th of next month in which the return filed.

GSTR 7 (TDS Return) – The due date for return filing for the form GSTR 7 is 10th of next month in which return is filed.

GSTR 8 (E-Commerce operator) – The GST due date for return filing for the form GSTR 8 is 10th of every next month in which the return is filed.

GSTR 9 (Annual Return of the normal dealer) – The GSTR 9 form is a mandatory form which must be filed on or before 31st December.

GSTR 9A (Annual Return for the composition dealer) – The GSTR 9A form is a mandatory form which must be filed on or before 31st December.

GSTR 9C (GST Audit Form) – The GSTR 9C audit form is a mandatory form which must be filed for companies that turnover exceeds 2 crores in a particular financial year on or before 31st December.

GSTR 10 – Final Return for the taxpayer after surrendering or cancellation of the registration. View the GSTR 1 form

GSTR 11 (INWARD SUPPLIES STATEMENT FOR UIN) – (INWARD SUPPLIES STATEMENT FOR UIN HOLDERS) – The due date for the GSTR 11 form is 28th of the month following the month for which statement is filed.

Easy Guide to MSME Form 1 (MCA) with Filing Procedure & Due Dates

The Criterion for filing MSME I form (MCA) by those specified companies whose outstanding payment to MSMEs suppliers is exceeding 45 days, is being discussed below:

  • Order Named: Specified Companies (Detailed information regarding payment to micro and small enterprise suppliers) Order, 2019
  • Date of Notification: In context to Order dated January 22, 2019, issued under Section 405 of the Companies Act, 2013
  • Effective Date: From the Date of Publication in the Official Gazette

Note: File MSME Form 1 As Per the Applicability of the Provisions by Complaw Software

What is MSME Form 1 (MCA)?

The MSME I Form is for the payment of half yearly return with the Registrar of Companies (ROC) in context of the outstanding payments to Micro or Small Enterprises.

Major changes have been made by the Ministry of Corporate Affairs in the context of protecting the interest of the small group of companies or business. He laid emphasis on following compliance by all Specified Companies Whether Public or a Private Company, Micro or Small.

Recommended: Due Dates of Filing ROC Annual Return by Companies

A half-yearly return is required to be submitted to the Ministry of Corporate Affairs on a mandatory basis, by all those companies who receive supply of goods or services from Micro or small enterprises and the payment done to these micro and small enterprise suppliers exceeds forty-five days from the date of acceptance (or deemed acceptance) of the relevant good or services.

The following points should be stated in it:

  • the amount of payment due and
  • the reasons for the delay

Following the provision of section 405 of the Companies Act, 2013, (18 of 2013) the Central Government made it necessary for all the “Specified Companies” to furnish the above-notified information about the payment to micro and small enterprise suppliers.

MSME Form 1 Due Date (Initial Return)

The government has declared the MSME form 1 due date till 30th May 2019 for all eligible companies. The department earlier said that the due date for companies to file the form will be 30 days from when it is uploaded on the official website. Read the notification here.

MSME Form 1 Due Date (Half Yearly Return)

Form MSME I (half yearly return) has to be filed within 30 days from the end of each half year in respect of outstanding payments to Micro or Small Enterprise i.e. 31st October 2019 (April 2019 to September 2019) 30th April 2020 (for October 2019 to March 2020). Read the notification here.

Important Definitions:

Specified Companies: As per the provisions of section 9 of the MSME Development Act, 2006, Specified companies are those companies who receive the supply of goods or services from MSMEs and the payment against these supplies to the suppliers of these MSMEs exceed 45 days from the date of acceptance (deemed acceptance) of the goods or services

Micro and Small Enterprise: The Micro and Small Enterprise mentioned above mean any class or classes of enterprises (including proprietorship, Hindu undivided family, partnership firm, company, undertaking, an association of persons or co-operative society), in which conditions applied are as per below:

Manufacturing SectorConditions applied
EnterprisesInvestment in plant & machinery
Micro EnterprisesDoes not exceed twenty-five lakh rupees
Small EnterprisesMore than twenty-five lakh rupees but does not exceed five crore rupees
Service SectorConditions applied
EnterprisesInvestment in equipment
Micro EnterprisesDoes not exceed ten lakh rupees:
Small EnterprisesMore than ten lakh rupees but does not exceed two crore rupees

Note: The Criteria specified above are specified bases Micro, Small and Medium Enterprises Development Act, 2006 and the bill to change the criteria of classification and to withdraw the MSMED (Amendment), 2015 is pending in the Lok Sabha.

The MSME Act, 2006 defines the Micro Small and Medium Enterprises.

Read Also: All About of MCA E-Form INC-22A with Step by Step Filing Process

MSME Act, 2006, MSME Broadly Classified Into 2 Categories

1) In the First category comes to those Enterprises which are engaged in the manufacturing and production of goods for any industry.

  • Manufacturing Enterprises – As per the first schedule to the industries (Development and Regulation) Act, 1951, the Manufacturing enterprises defined in terms of investment in Plant & Machinery, are those enterprises that are engaged in the manufacture or production of goods for any specific industry

2) In the second category comes to those enterprises which are engaged in providing or rendering services

  • Service Enterprises –  Defined in terms of investment in equipment, service enterprises are those enterprises which are engaged in providing or rendering services

Under the MSMED Act 2006, the Micro Small & Medium Enterprises (MSMEs) in India are categorized and defined on the basis of capital investment done in plant and machinery but excluding the investments made in land and building.

Micro & Small Enterprise Category

In the Micro and Small Enterprise category there are entities which include Proprietorship, Hindu Undivided Family, Partnership Firm, Company, Undertaking, an Association of Persons or Co-Operative Society.

Applicability on Companies:

As per a notification issued by the MCA it has been mandated to file disclosures through Form MSME I for every type of the Company – Public or Private Company, Micro or Small Companies; the Company that satisfies the following two conditions:

  • Condition 1: Company must have received Goods and/or Services from Micro or Small Enterprise
  • Condition 2: Payment must have been due/not paid, to such Micro and Small Enterprise for 46 days from the date of acceptance

Note: Date of deemed delivery refers to the acceptance of goods and services by the buyer in written with no objection with the product or services received within the 15 days time period.

Late Filing Penalty for MSME Form 1

The section 405(4) which includes non-furnishing/incomplete/incorrect information penalty states a fine up to Rs.25000 (Co.,), Rs.25000/- (Min) & Rs.3 lacs (max) and imprisonment of 6 months for directors or both. Therefore it is mandatory for directors to file the MSME form 1.

Procedure for Filing MSME Form 1 (MCA)

The Initial one-time Return: The companies should file, the MSME Form I detailing all the outstanding/ dues against the Micro or small enterprises suppliers that are existing on the date of notification of the related order within 30 days from the date of deployment of E-form MSME-1 on the MCA Portal.

Last date for filing Initial Return (One time return) in form MSME 1: Within 30 days from the date when E-form MSME-1 shall be deployed on the MCA Portal. Note: (as per the extended notification of MCA dated 21.02.2019). Read Notification

  • All the Companies falling under the above-mentioned category, would require to file MSME Form I as a half-yearly return by October 31st, for the period from April to September and later by 30th April for the period from October to March and must furnish the below details in it:

1) the amount of payment due and
2) reasons for the delay

  • Thus Concludingly, each Specified Company, public or private, that obtains goods and services from the small and micro-enterprise and whose payment is due with such micro and small enterprise suppliers for 45 days from the date of acceptance, shall be required to file MSME Form as a half yearly return every year.

Read Also: Free Download ROC Return Filing Software for Companies

Step by Step Procedure to File MCA MSME Form 1

Below are the details of the form:

Step 1: Company details such as Corporate identity number, global location number, and the PAN

MSME Form 1 (MCA) Part 1

Step 2: Basic details of the company such as name, address, email id

MSME Form 1 (MCA) Part 2

Step 3: Details like initial returns of outstanding dues to the MSE suppliers

MSME Form 1 (MCA) Part 3

Step 4: Details of regular returns of outstanding dues to the MSE suppliers

MSME Form 1 (MCA) Part 4

Step 5: Details based on the reason for the delay in the payment amount

MSME Form 1 (MCA) Part 5

Step 6: Any particular attachment for the validation

MSME Form 1 (MCA) Part 6

Then there is a declaration by the company director along with a digital signature

MSME Form 1 (MCA) Declaration

Due Date for Filing MSME Form 1 (MCA):

1. Initially (One time)

  • Every company is required to file MSME Form I within 30 days from the date of deployment of said E-form on the MCA portal (as extended by the MCA) furnishing the details of all the outstanding dues, to Micro or Small enterprises suppliers, existing on the date of notification of this order.

2. Thereafter The Half-yearly return

  • Every company is required to file the MSME Form I as half yearly return by 31st October, effective for the period from April to September and once again by 30th April for the period October to March every year, relating to the outstanding payments to MSMEs.

Who should not file the form? (Exemption to this rule)

  • This Rule applicable not for all the Companies but only for those Specified Companies whose payment to MSMEs suppliers exceed 45 days from the date of acceptance or deemed acceptance of the goods or services as per the provisions under section 9 of the MSME Development Act, 2006.
  • If the payment against supplier exceeds 45 days but the supplier/Creditors gives a declaration that they do not fell under the category of Micro or small Enterprises.

GST 2.0 – New Filing System

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The government of India and GST Council has introduced the GST 2.0- A New Filing System in order to simplify the GST return filing process. The main reasons for the introduction of this new return filing mechanism, i.e., Goods and Service Tax 2.0, by the government include simplification of tax procedures, evade & control tax evasion, and increase compliance.

The full-scale launch of this new GST filing system is scheduled to be rolled out in a phased manner starting from April 2020. The trial run of the new GST filing system has already been started on July 2019.

The major highlights of this newly proposed GST system include the introduction of three new forms, i.e., GST RET-1 (Normal), GST RET-2 (Sahaj), and GST RET-3 (Sugam) for suppliers, and two annexure forms, i.e., GST ANX-1 and GST ANX-2. Under GST 2.0, the government has also proposed some changes related to uploading of the invoice, provisional credit, and amendment returns for the taxpayers.

To get regular updates, news and other key information about GST 2.0: New GST Return Mechanism, keep following SAG GST Portal.

All About MGT 7 Form (MCA) with Due Dates & Filing Fees

MGT-7 Annual Return Form MCA

What is MCA MGT 7 Form?

MGT 7 is an electronic form that is allocated to all the companies by the Ministry of Corporate Affairs for filing details of their annual return. The Registrar of Companies uses to maintain this e-form via electronic mode and on the basis of the statement of correctness given by the company. It is a popular form among the companies which are required to file the form as per the norms and regulations of the ministry of corporate affairs.

Who Need to File the MGT 7 Form?

All the registered companies in India must file this e-form every year doesn’t matter if the company is private or public. The requirement of filing the Form MGT 7 by the company is for its annual return.

What if the Company does not File MCA Form MGT 7?

If any company does not file Form MGT 7 on time, it would attract a penalty of INR 100 per day as default. The levied penalty was remarkably increased in 2018. So, it should be a good approach to file an annual return in this form before the last date.

Download MGT 7 Form Format from MCA Portal

One can easily download the MGT 7 form from MCA portal under “Annual filing e-forms” category.

MGT 7 (MCA) Form Filing Fees

The fee for the filing of company annual return via MGT 7 is determined by the nominal share capital of a company. The MGT 7 form filing fee starts at Rs 200 for the company with Share Capital of less than 1,00,000. The fee amount increases with increase in the share capital of the company. You can find the complete list here. The company must pay this fee when filing the annual return MGT 7 with ROC. For the companies not having a share capital, the MGT 7 Filing Fee is Rs 200.

Nominal Share CapitalNormal Fee Applicable in Rupees
Less than 1,00,000INR 200
1,00,000 to 4,99,999INR 300
5,00,000 to 24,99,999INR 400
25,00,000 to 99,99,999INR 500
1,00,00,000 or moreINR 600

MGT 7 Form Late Filing Fees (MCA)

In case of delay in the filing of MGT 7 annual company return, a company is required to pay an additional fee as penalty along with the normal fee. For a delay of up to 30 days, the MGT 7 late filing fee is twice the normal fee. Its gets increased depending on the period of delay.

Period of delaysFee applicable
Up to 30 days2 times of normal fees
More than 30 days and up to 60 days4 times of normal fees
More than 60 days and up to 90 days6 times of normal fees
More than 90 days and up to 180 days10 times of normal fees
More than 180 days12 times of normal fees

What’s an Objective Behind Filing the e-Form MGT 7?

The Form MGT 7 is filed for annual return however it contains all the particulars as similar to appear in the closing of the financial year. These particulars hold details of :

Read Also: ADT-1 Form Due Date and E-Filing Documents for First Auditor

  • The registered office, primary business activities, details of its holding, subsidiary and associate companies
  • The shares, bonds and other securities and shareholding pattern of the company financial obligations of the company
  • The members and debenture-keepers along with changes associated with them since the end of the last financial year
  • The promoters, directors, key managerial personnel along with changes associated with them since the end of the last financial year;
  • Meetings of members or a class thereof, Board and its various committees along with attendance details
  • Payment of directors and principal managerial personnel;
  • Details of penalty or punishment imposed on the company, its directors or officers and facts of the composition of offences and appeals made against such penalty or punishment
  • The issues related to certification of compliances and disclosures as may be specified
  • It’s a Shareholding format
    Such different issues as needed in the form

Which are the Needed Attachments to File MGT 7 Form?

One can file this e-form by attaching the scanned copy of documents under the attachment head. This attachment section is provided at the end of the form which requires given below attachments including:

  • List of investors, debenture holders
  • Approval letter for augmentation of AGM
  • MGT-8 copy
  • Optional Attachment(s), if any

What is the Last Date for Filing MGT 7 MCA Form?

  • The company required to file the form MGT 7 within 60 days from the Annual General Meeting date.
  • The last date for conducting annual general meeting is on or before the 30th day of September after closing of every financial year.
  • Hence, the last date for filing of form MGT 7 is usually 28th of November every year.

Mentioned in the provisions of Section 92(1) of Companies Act 2013, every business operating in India (including One Person Company and small company) is obliged to prepare the annual report of the company’s business and present it to the authorities in Form MGT 7. MGT 7 is required by every business on the closing of every Financial Year i.e., 31 March.

The contents of annual return form MGT 7 include details of the company’s registered office, principal business activities, information about the company’s holdings and subsidiary firms, shareholding patterns, company’s members, debenture holders, indebtedness, etc.

Mentioned in Rule 11 of the Companies (Management and Administration) Rules, 2014, the annual return of the company in Form MGT 7 authorised by the company’s director is required to be submitted to ROC (Registrar of Companies) within the prescribed time period.

Mentioned Below Some FAQs Related to MGT 7 E-forms:

Q.1 – About the MGT 7 e-form?

The Company’s Annual Return form or MGT 7 form is required to be filed by every company. The form comprises of the company’s financial and non-financial details which are needed by the authorities.

Q.2 – Who needs to file an MGT e-form?

Every registered firm operating in Indian premises including One Person Company and small company are required to file Form MGT 7.

Q.3 – When does the form need to be filed?

Depending upon the situations of various companies there are different due dates of filing Form MGT 7:

Case 1 – In the case of One Person Company, e-form MGT 7 needs to be submitted to legal authorities within 60 days starting from the expiry of 6 months from the closing date of FY. For Example, if FY ends on 31 March 2019, then 6 months from the end of FY will complete on 30 September 2019. So the prescribed due date of filing MGT 7 is 28 November 2019 (i.e. 60 days from 30 Sept 2019).

Case 2 – In the case of company’s except OPC, MGT 7 needs to be filed within 60 days starting from the date of concluding the Annual General Meeting (AGM). If in case the company fails to conduct the AGM then also it needs to furnish MGT 7 Form along with the valid reason for not conducting the AGM.

Q.4 – How much fee is to be deposited along with Form MGT 7?

Mentioned below is the table presenting the amount which is to be paid to legal authorities along with form MGT 7:

Nominal Share CapitalNormal Fee Applicable in Rupees
Less than 1,00,000INR 200
1,00,000 to 4,99,999INR 300
5,00,000 to 24,99,999INR 400
25,00,000 to 99,99,999INR 500
1,00,00,000 or moreINR 600

To be noted: For the companies not falling under any of the above-mentioned criteria, the fees along with MGT form is Rs. 20.

Q.5 – What is the penalty for the late filing of MGT 7?

As declared by Companies (Registration Offices and Fees) Second Amendment Rules 2018, the late filing of form MGT 7 will invite penalty of Rs. 100 per day of delay counted from the expiry of the due date of filing MGT 7.

Q.6 – What is the aftermath of not filing MGT 7 within the prescribed time period?

If the company is found guilty of not filing MGT 7 within the designated time limit then the company along with its key officials will be liable for paying Rs. 50,000 as a penalty. However, if the delay continues then the penalty of Rs. 100 per day will be payable until the amount reaches the maximum of Rs. 5,00,000.

Q.7 – What documents are required along with form MGT 7?

List of documents needed adjacent to form MGT 7:

  • A list containing details of shareholders & Debenture holders – Applicable in the case when the company is having share capital and where the complete list of shareholders and debenture holders has been enclosed as an attachment.
  • Approval letter for extension of AGM, if applicable.
  • MGT-8 (if applicable)

Optional: MGT-8 is a certificate given by Company Secretary in practice where the company is listed or its paid-up share capital is INR 10 Crores or more or Turnover is INR 50 crores or more.

Q.8 – Whose signatures are required to authenticate MGT 7?

When OPC is concerned – the signature by the company secretary on Form MGT 7 is required and if there is no company secretary for the firm then the signature is required by the director of the company.

When companies other than OPC are concerned – Form MGT 7 needs signatures from the director and the company secretary of the firm, if there is no all-time company secretary then signature is required by the company secretary in practice.

To be noted: If any company found alleged of filing Annual Return which is contradicting the provisions of the ‘Companies Act’ then the company has to pay the fine of min Rs. 50,000 but not exceeding Rs. 5,00,000.

Q.9 – Link to download form MGT 7?

E-form MGT 7 is available to download from MCA’s official website.

Concussion

For all your filing related compliance for the MGT 07 for MCA, the SAG Infotech is readily available to cater you with the best of ROC/MCA filing software i.e. Gen CompLaw which is used by thousands of tax professionals across India. The Gen CompLaw is capable of minutes register and all the relevant ROC filing as per the due date and regulations

File MGT 7 Annual Return Form by Gen CompLaw XBRL Software

Recently Introduced Reforms Under CGST Laws

Reforms Under CGST Laws

Consistant towards achieving a solid GST structure and preventing cases of GST leakages and frauds government keeps on improvising the tax laws for good. Many new provisions are allowed by the government and some old ones are amended in order to make GST a much more convenient and realistic form of tax governance.

With effect from 09-10-2019, one of the major GST amendments introduced in CGST laws with respect to input tax credits allows only 20% of the eligible credit returns for companies with irrelevant or incomplete invoice detailings.

It’s also mentioned in the laws that if the registered supplier is going through the period of suspension (suspension of GST registration) he is not eligible to release the GST invoice that means he will not charge tax on supplies made by him.

Let’s have a look on other equally relevant reforms brought in provisions currently under CGST Laws:

1. In Rule-21A(3), explanation inserted, states:-

“Explanation.-For the purposes of this sub-rule, the expression “shall not make any taxable supply” shall mean that the registered person shall not issue a tax invoice and, accordingly, not charge tax on supplies made by him during the period of suspension.”;2. In Rule-21A, explanation inserted, states:-

“Rule-21A(5) -Where any order having the effect of revocation of suspension of registration has been passed, the provisions of clause (a) of sub-section (3) of section 31 and section 40 in respect of the supplies made during the period of suspension and the procedure specified therein shall apply.”

3. In Rule-36, explanation inserted, states:-

“Rule-36(4)- Input tax credit to be availed by a registered person in respect of invoices or debit notes, the details of which have not been uploaded by the suppliers under sub-section (1) of section 37,shall not exceed 20 per cent. of the eligible credit available in respect of invoices or debit notes the details of which have been uploaded by the suppliers under sub-section (1) of section 37.”.

4. In Rule 61(5), explanation inserted, states, with effect from 1st July,2017:-

“Rule-61(5)- Where the time limit for furnishing of details in form GSTR-1 under section 37 or in form GSTR-2 under section 38 has been extended, the return specified in sub-section (1) of section 39 shall, in such manner and subject to such conditions as the Commissioner may, by notification, specify, be furnished in form GSTR-3B electronically through the common portal, either directly or through a Facilitation Centre notified by the Commissioner. Provided that where a return in form GSTR-3B is required to be furnished by a person referred to in sub-rule (1) then such person shall not be required to furnish the return in form GSTR-3.”;

5. Rule 61(6) shall be omitted , with effect from 1st July, 2017, explanation inserted, states.

6. In Rule-83A(6), for clause (i), explanation inserted, states:-

“Rule-83A(6)(i) – Every person referred to in clause (b) of sub-rule (1) of rule 83 and who is enrolled as a goods and services tax practitioner under sub-rule (2) of the said rule is required to pass the examination within the period as specified in the second proviso of sub-rule (3) of the said rule.”.

7. In Rule-91(3), with effect from 24th September,2019, with “application for refund”, and “on the basis of a consolidated payment advice:” explanation inserted, states;

8. In Rule-91, following Sub-Rule with effect from 24th September, 2019, explanation inserted, states:-

“Rule-91(4) -The Central Government shall disburse the refund based on the consolidated payment advice issued under sub-rule (3).”.

9. In Rule-97 following Sub-Rule, with effect from 1st July, 2017, explanation inserted, states-

“Rule-97(7A) – The Committee shall make available to the Board 50 percent. of the amount credited to the Fund each year, for publicity or consumer awareness on Goods and Services Tax, provided the availability of funds for consumer welfare activities of the Department of Consumer Affairs is not less than twenty-five crore rupees per annum.”;

10. In Rule-97(8), clause (e) shall be omitted, with effect from 1st July, 2017, explanation inserted, states.

11. In Rule-117(1A) – for the figures, letters and word “31st March,2019”, the figures, letters and word “31st December,2019” explanation inserted, states.

12. In Rule-117(4), in clause (b),in sub-clause (iii), In the proviso for the figures, including “30thApril,2019”, the figures, letters and word “31st  January,2020”, explanation inserted, states.

13. In Rule- 142 following  Sub-Rule, – explanation inserted, states:-

“Rule-142(1A)- The proper officer shall, before service of notice to the person chargeable with tax, interest and penalty, under sub-section (1) of Section 73 or sub-section (1) of Section 74, as the case may be, shall communicate the details of any tax, interest and penalty as ascertained by the said officer, in Part A of form GST DRC-01A.”

14. In Rule-142(2), after the words “in accordance with the provisions of the Act”, the words, figures and brackets “, whether on his own ascertainment or, as communicated by the proper officer under sub-rule (1A),” explanation inserted, states;

15. In Rule -142 following Sub-rule explanation inserted, states:-

“Rule-142(2A) – Where the person referred to in sub-rule (1A) has made partial payment of the amount communicated to him or desires to file any submissions against the proposed liability, he may make such submission in Part B of form GST DRC-01A.”

Original Notification for New CGST Rules by CBIC

WEF’s India Economic Summit to Focus on Startups & Cut Down IT Rates

WEF India Economic Summit 2019

Measure to combat the gloomy phase of Indian economy was discussed in the World Economic Forum’s annual India Economic Summit. As per the discussion held in the event, abbreviating just the corporate taxes will not serve the purpose.

The growth rate of the Indian economy has declined to 5% in the April-June quarter, which is the lowest in the last six years. Other latest data such as GST collection & core sector output has also been negative which is a clear call for instant measures by the government.

The total GST collection of Rs 91,916 in September is the least figure among that of the last 19 months whereas the core sector output depicted the highest downturn of last more than 4 years in August with a decline by 0.5%.

The participants of the event, started in Delhi on Thursday with the joint effort of WEF and Confederation of Indian Industry, do not perceive that lowering down the corporate taxes will be able to restore the economy. They instead suggest for taking more measures & incentives such as cut down in income tax to invigorate the demand.

“Reduction in the corporate tax rate would be good but personal tax rate should also be cut down as the slowdown in demand is now clearly visible,” Adi Godrej, chairman of Godrej Group stated. “Government should provide more stimulus even if it means increasing the fiscal deficit,” he added.

Government proposals to revive the Indian economy from a six-year low of 5% in the April-June quarter includes blunt cut down in the corporate tax rate from 30% to 22%. The new tax rate at 15% for startups in the manufacturing sectors is also a part of the measures recommended.
Although the drop off in taxes will lead to revenue loss for the government but it will certainly be a financial booster of Rs 1.45 lakh crore to the Indian economy.

Experts from industries are pressing pedals for more reformation and incentives, as according to them, alterations in taxes are not enough to enliven the Indian economy & consumers from a depressing phase.
Gautam Kumra, managing partner at McKinsey also laid stress on different measures reformations to bolster the efficiency and competitiveness of India. He said, “Taxation is an important piece that will help India become competitive, but there are other aspects too including land, labour and financial sector reforms,”.

Read Also: All About Proposal Made for Income Tax Slabs & Rates by Task Force

Reformation for the startups was also underlined by some participants in the event. According to them, the government should focus on the startup ecosystem and adapt a mechanism which will help them access the capital requirement easily.

“Becoming a $5 trillion economy would not be possible without innovation,” statement made by Vani Kola, founder of early-stage venture capital Kalaari Capital. “Hence, there is a need for structural reforms for startups to access capital,” she added.

Measures from the Reserve Bank of India are also anticipated to be announced soon. RBI may further slash the policy rates while reviewing its monetary policy.

Uday Bansali, president (financial advisory) at Deloitte said, “The mood is optimism with caution and there is more need for transformation,”. He also said,. “I feel we will be doing well in the long run, but there are some hurdles in the short run that needs to be addressed.”

Borge Brende, a member of WEF’s managing board has an optimistic attitude towards the fast revival of Indian economy.

Govt to Initiate GST Return Filing (Sahaj & Sugam) via SMS

GST Return Filing Sahaj & Sugam Via SMS

The provision announced by the Central Government is a big relief to Small Traders. Commencing from 1 April 2020, the provision gives taxpayers the facility of filing GST just by sending an SMS from their registered number. The only disclaimer is that their turnover must be suspended. Not only this, small traders are obliged to file their returns once every three months via SAHAJ and SUGAM forms.

GST Network CEO Prakash Kumar told to the sources that taxpayers with suspended turnover are filing GST just because they have a GST number that they are obliged to file the returns, they are filing the returns. There is segregation for such taxpayers under the new GST system which will now ensure that such taxpayers are allowed to submit their returns only by sending SMS from their registered mobile numbers.

Returns can Now be File via SMS

As per the reports, commanded by the new system locked turnover assessee will have to send an SMS in return an OTP will be communicated to the taxpayer on his/her registered mobile number. On entering the relevant OTP their returns will be considered as filed.

The Technique will be in progress from 1st April 2020.

RET-02 – SAHAJ FORM

Taxpayers with the annual gross income of up to Rs. 5 Crore were earlier obliged to file GSTR 3B form but now two new forms are assigned for such assessees. The GST RET-2 Form is designated for those doing B2C business of up to Rs. 5 Crores per year.

RET-03 – SUGAM FORM

The law is convenient for businessmen as they will pay the tax every month but have to file the returns once in three months. Similar to that GST RET 3 or SUGAM form is obligatory for those whose annual turnover is up to Rs 5 Crore or who deal in bulk products or involved in B2B businesses. The form is filed on a quarterly basis, but tax payment will be on a monthly basis.

Changes in Rules from October 1: Check Impacts On Lives & Pockets

Various changes in different sectors including banking, driving license and GST from 1 October 2019 i.e. from today are going to significantly affect our lifestyles and budgets. According to the Reserve Bank guidelines, the banks will offer retail loans at repo rate linked interest rate, from today. At the same time, due to the revision in GST rates, the prices of various commodities will also be changed. In addition to this, some very important changes related to driving license have also come into effect from today.

Let us Know these Changes in Detail:

  • Repo rate linked the interest rate
  • Following the RBI guidelines, various public sector banks including SBI, Canara Bank and Corporation Bank have presented retail loans at repo rate based interest rates from October 1. This will cut down your monthly EMI due to a reduction in the repo rate by RBI.
  • Earlier, banks did not give full benefit of the reduction in the repo rate to the customers instantly and this is the reason that the central bank issued guidelines on September 4, directing retail and MSME loans to be linked to external benchmarks.

SBI will Impose a Lesser Penalty for Not Maintaining a Minimum Balance

SBI, the nation’s largest bank, has announced a drastic reduction in the amount of penalty charged for not maintaining the minimum balance. This decision becomes effective from today. Apart from this, SBI customers from Metro and non-metro cities will be allowed to pay 10 and 12 transactions, respectively, for no charge.

Changes in the GST Rate Will cause Changes in the Prices of Goods

As per the decisions of the GST Council, the new GST rates have come into effect from October 1. Now the hotel rooms with rent up to Rs 1,000 are GST exempt. However, the new GST rate of 12 percent is applicable to rooms with a rent of Rs 7,500.
At the same time, the new GST rate of 12% is applicable to train coaches and wagons. In addition, caffeine drinks will also become expensive because of the leviability of 28% GST along with additional cess of 12% on such substances.

Huge Reduction in Corporate Tax

The government recently announced a drastic reduction in corporate tax which will give huge relief to domestic companies. Finance Minister Nirmala Sitharaman had declared the reduction of corporate tax from 30 percent to 22 percent. This reduction becomes effective from today. Also, manufacturing companies formed after October 1 will now have to pay corporate tax at the rate of only 15%.

Rules Related to Driving license and RC Have Changed

Many changes in the rules related to driving license have become effective from October 1. Under the changes, you will have to update your old driving license which can be done online. Along with the implementation of this rule, the color of driving license and RC will be the same across the country.

Discard of Cashback on Payment by Credit Card at Petrol Pumps

Cashback of 0.75 percent on payment by credit card at petrol pumps after filling petrol or diesel, will no longer be available. Banks offering credit cards have informed their customers through the message that the public sector petrol companies have decided to abolish this exemption from October 1. However, this exemption on payments by other means will sustain.

Different GST Testing Procedures Under Internal Audit

GST Testing Procedures Under Internal Audit
  • Verify the invoice reveals details of all the particulars mandatory as per the GST Act (Invoice number and date, Customer name, Shipping and billing address, Customer and taxpayer’s GSTIN (if registered), Place of supply, HSN code/ SAC code, Item details i.e. description, quantity (number), unit (meter, kg etc.), total value, taxable value and discounts, Rate and amount of taxes i.e. CGST/ SGST/ IGST, Whether GST is payable on reverse charge basis, signature of the supplier) on a sample Basis.
  • Verify that a Self-invoice is generated for all the RCM payments revealing the details according to the Act (The Self-invoice should also unveil all the necessities of a forward charge invoice as described in the above point).
  • The entity should perform testing procedure-GSTR 3B vs GSTR 1 vs Books reconciliation for output tax (It should be ensured during GST testing under internal audit that the mentioned testing procedure being performed by the entity or not and being re performed repeatedly for accuracy and validity).
  • It should be verified that the entity is performing testing procedure-GSTR 3B vs GSTR 2A vs Books for reconciliation of input credit claimed and input details uploaded by the supplier in his GSTR-1, periodically or not.
  • The filling of all the GST returns within the due dates should also be verified
  • The verification of claimed input credit by the company is eligible credit or not should be done. Since the entity is not eligible to claim blocked credit as per sec 17(5).
  • It should be verified that the payments are made to suppliers within 180 days from the date of invoice for which input credit is claimed. Otherwise, the input should be reversed if the payment is not made within 180 days.
  • The E-way bill system of the entity should also be reviewed in order to find out whether the details of the e-way bill issued from business whenever necessary, match with the details of sales or purchase invoices, whichever is the case, etc).
  • It is to be ensured that the company is maintaining HSN/SAC wise details for Output, Inputs (needed for filing annual return (GSTR-9)).

The statutory audit season were about to end with the end of September month though it has extended for one more month due to the extension of due dates. Post expiry of audit season, the companies start focusing on internal audits. In internal audits statutory compliance remains a compulsory component which consists of basic reconciliations as part of GST testing. Other than this, several other testing procedures can also be included as a part of GST testing which are listed below:

  • Verification of a certificate of registration whether it is prominently displayed to all the locations where business is done or not.
  • Verification of GSTIN no. whether it is included with the name of the business in displays (Rule 18 under CGST Rules mandates showcase of Goods and Services Tax Identification Number of every registered person on the name board displayed at the entry of principal place of business and at other places or places of business.)

Read Also: GST Audit Types – Statutory, Departmental, Special & Management Audit

  • Verify that the organisation with different branches in different states gets different registration and the other places of business within the states gets updated in the registration certificate.
  • Verify the GST registration data of customer master is valid or not. It can easily be done with the use of online tools available for free at (verifies validity of 50 GSTINs at once)- https://app.sahigst.com/search-taxpayer .