Request a demo

Thank you for your response

Our representative will get in touch with you shortly.

Please Fill the Details to download

Thank you for your response

India’s #1 GST software

1 click autofill GSTR-3B with G1 and 2B data

Download 2B data for multiple months in < 2mins

GSTR-2B vs purchase matching in under 1 min

OR
India’s No 1 GST software

Save upto 7% in taxes

Claim 100% ITC and save ~4% GST

3x faster experience

Save 2 man days every GSTIN month

Easy to connect

Connect with 100s of ERP’s, import data error-free

Form CMP-08: Statement Filing Procedure, Due Date, Penalty and Other Pointers

Updated on:  

08 min read

In April 2019, a new  tax payment process was laid down for composition dealers to simplify compliance for them. Form CMP-08 was introduced in April 2019 and was made applicable from FY 2019-2020 onwards. It replaces the erstwhile quarterly GSTR-4 filed by composition dealers.

Latest Updates on CMP-08

28th May 2021
As per the outcome of the 43rd GST Council meeting and CBIC notification,
(1) Interest relief has been provided for filing of CMP-08 for Jan-March 2021 quarter as per which, for any delay, interest is not charged until 3rd May, whereas 9% of reduced interest will be charged if filing is done thereafter until 17th June, and 18% later on.
(2) The due date to file GSTR-4 for FY 2020-21 is extended up to 31st July 2021.
(3) The maximum late fee for GSTR-4 that can be charged will be restricted to Rs.500 per return for nil filing and Rs. 2000 for other than nil filing.

1st May 2021
(1) The due date to file GSTR-4 for FY 2020-21 was extended from 30th April 2021 to 31st May 2021.
(2) Form CMP-08 that was due by 18th April 2021 for January-March 2021 has been given a relaxation in the interest charges. No interest for filing on or before 8th May, interest reduced to 9% between 9th May and 23rd May, but charged at 18% thereafter.

What is Form CMP-08?

A composition dealer will use the Form CMP-08, which is a special statement-cum-challan to declare the details or summary of his/her self-assessed tax payable for a given quarter. It also acts as a challan for making payment of tax. 

A composition dealer is a dealer who has been registered under the composition scheme laid down for both supply of goods and services. In addition to Form CMP-08, a composition dealer will also need to file his/her annual return via the revised format of Form GSTR-4 by 30 April following the end of a specific fiscal year.

Who should file CMP-08?

A taxpayer who has opted for the composition scheme has to file CMP-08 in order to deposit payments every quarter. There are two kinds of taxpayers registered using CMP-02 (Opt into Composition scheme):

  • The supplier of goods being manufacturers, retailers having an annual aggregate turnover of up to Rs.1.5 crore (Rs.75 lakhs for special category States except for Jammu & Kashmir and Uttarakhand) in the previous financial year, except:
    • Manufacturer of ice cream and other edible ice (whether or not containing cocoa), pan masala, or tobacco and manufactured tobacco substitutes.
    • A person making inter-state supplies.
    • A person supplying goods which are not taxable under GST Law.
    • A casual taxable person or a non-resident taxable person.
    • Businesses which supply goods through an e-commerce operator.
  • The supplier of services who fulfil the conditions mentioned under the Notification Number 2/2019 Central Tax (Rate) dated 7 March 2019 having the aggregate annual turnover up to Rs.50 lakh in the previous financial year.

What is the due date to file the Form CMP-08?

Form CMP-08 must be filed on a quarterly basis, on or before the 18th of the month succeeding the quarter of any specific fiscal year. For example, the due date to file CMP-08 for the Jan-Mar 2021 quarter was 18th April 2021.

What is the penalty for not filing CMP-08 within the due date?

In case a taxpayer fails to furnish his/her statement on or before the due date, he or she will be liable to pay a late fee of Rs.200 per day for every day of delay. i.e. Rs.100 per day under CGST and Rs.100 per day under SGST. IGST Act prescribes an amount equal to the late fees for CGST and SGST Act i.e Rs.200 per day of delay. Late fee charges will be subject to a maximum of Rs.5,000 from the start of the due date to the actual filing date of the taxpayer.

Moreover, if CMP-08 of two consecutive quarters are not filed, then the e-way bill generation gets blocked. For unblocking, taxpayers need to apply to the jurisdictional tax official in Form GST EWB 05. They may also be required to file all pending forms for previous quarters.

How does a taxpayer fill CMP-08?

A taxpayer will need to fill in the following details: 
Step 1- A taxpayer has to enter his/her GSTIN details. Have a look at the screenshot below to understand better:

CMP08

Step 2– Once the GSTN number is entered, primary information such as the legal name and trade name will be auto-filled. The same statement will be updated for the ARN (Application reference number) and date of filing, once the payment is done. Take a look at the screenshot below for your reference:

CMP08

Step 3– The third table of the form will have information/summary of the self-assessed tax liability. A taxpayer will need to provide details such as outward supplies on which tax is payable by him, including the inward supplies on which tax is payable on a reverse charge and cases of imports. Apart from this, the tax payable on these and the interest paid (if any) should be reported. Refer to the screenshot below for a better understanding:

CMP08

Step 4– In the final step, a taxpayer has to confirm that he/she has verified all the details that have been entered by signing the form. Here is a screenshot for your reference:

CMP08

Important notes to a taxpayer:

  • A taxpayer can file a ‘NIL’ return if his/her total tax liability is zero for a given quarter. A Nil CMP-08 can be filed via SMS. 
  • A taxpayer will be liable to pay interest as well as a penalty in case he/she misses the filing due date.
  • Tax liabilities are inclusive of adjustment in relation to advances, credit notes, debit notes or, any rectifications.

For better understanding of the process, read our articles on ClearTax:

inline CTA
India’s Fastest and Most Advanced 2B Matching
Maximise ITC claims, use smart validations to correct your data and complete 2B matching in <1 minute