After opting into Composition Scheme, a taxpayer has to intimate the government about the stock held by them on the day of opting into the scheme. The stock details have to be provided in Form GST CMP-03.
Form CMP-03 has to be filed within 90 days from the day of filing CMP-02.
A Composition Dealer files CMP-02 on 25th November 2017.
The dealer is required to file details of stock in CMP-03 by 23rd February 2017.
Here is a step-by-step guide to file CMP-03 on GST Portal:
Step 1: Log in to GST Portal
Step 2: Go to ‘Services’ > ‘Registration’ > ‘Stock intimation for opting Composition Levy’.
Step 3: Click on ‘DOWNLOAD TEMPLATE’ button.
Step 4: Download the Excel Template and unzip the file.
Step 5: Open the Excel file. Click on ‘Enable Content’ on the top of the Excel to enable macros.
Step 6: Enter your GSTIN.
Step 7: Click on ‘Insert Rows’. A popup will appear. Enter the number of rows that you want in the excel.
The stock details have to be bifurcated into two:
- Purchases from registered dealer
- Purchases from unregistered dealer
Step 8: Click on ‘Validate’ button once all the details have been entered.
Any errors will pop up once you click on ‘Validate’. Rectify the errors and click on ‘Validate’ again.
Step 9: Click on ’Generate File to Upload’ button below the ‘Validate’ button to create the CMP-03 file. This file has to be uploaded to the GST Portal/ GSTN.
On successful download, a message is displayed with the path where the file is saved.
Step 10: Login to GST Portal and go the section ‘Stock intimation for opting Composition Levy’. Click on ‘Choose File’.
Select the CMP-03 file and click on ‘UPLOAD AND VALIDATE’.
Step 11: On uploading the file, Tax Payable on the stock is calculated and displayed under ‘Details of tax paid’.
Click on ‘Update Ledger Balance’.
The balance in the Electronic Liability Ledger will increase. This liability has to be paid with available balance in Electronic Cash Ledger.
Once this is done a ‘Debit Entry No.’ is generated and a success message is displayed.
Step 12: Select the ‘Verification’ checkbox, ‘Name of Authorized Signatory’ and fill the ‘Place’ field. Submit the CMP-03 with DSC, E-SIGN or EVC
On successful submission, a success message is displayed along with the Application Reference Number (ARN).