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GSTR-4 is a quarterly return that taxpayers opting for Composition Scheme need to furnish.

1. What is GSTR-4?

GSTR-4 is a GST Return that has to be filed by a Composition Dealer. Unlike a normal taxpayer who needs to furnish 3 monthly returns, a dealer opting for the composition scheme is required to furnish only 1 return which is GSTR-4.

2. Who should file GSTR-4?

A taxpayer opting for the Composition Scheme is required to file GSTR-4.

3. When is GSTR-4 due?

GSTR 4 has to be filed on a quarterly basis.

The due date for filing GSTR 4 is 18th of the month after the end of the quarter.

For example:

The due date for GSTR-4 for the quarter of October 2018 to December 2018 is 18th January 2018.

*Latest Update:

23rd GST Council Meet on 10th November 2017

Due date of GSTR-4 for Jul-Sep quarter has been extended to 24th December 2017.

4. What if GSTR-4 is not filed?

A penalty of Rs. 100 per day is levied if the GSTR-4 is not filed.

The maximum penalty that can be charged is  Rs. 5,000.

Also, if the GSTR-4 is not filed for a given quarter, then the taxpayer cannot file the next quarter’s return either.

5. How to revise GSTR-4?

GSTR-4 cannot be revised after filing on the GSTN Portal. Any mistake in the return can be revised in the next month’s return only. It means that, if a mistake is made in the GSTR-4 filed for the July-September quarter, the rectification for the same can be made only when filing the next quarter’s GSTR-4.

6. Details to be provided in GSTR-4

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  1. GSTIN: The taxpayer’s GSTIN will be auto-populated at the time of return filing.
  2. Name of the Taxable Person: The taxpayer’s name will also be auto-populated at the time of logging into the common GST Portal
  3. Aggregate Turnover: In this section, the taxpayer has to furnish details of the previous year’s aggregate turnover, and the aggregate turnover for the period of April-June, 2017 (for the first GSTR-4 return). These fields will be auto-populated for the returns of October to December period.

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  1. Inward Supplies including supplies on which tax is to be paid on reverse charge:

All purchases made by you need to be mentioned here. This also includes including inward supplies from unregistered persons. Purchases from registered dealers will get be auto-populated based on GSTR-1 filed by the sellers. Inward supplies from an unregistered person are required to be furnished manually. Inward supply also includes import of services and supplies attracting tax under reverse charge mechanism.  The tax to be paid under reverse charge is not covered under composition scheme. So, tax at normal rates has to be paid for RCM.

As per  Notification No. 45/2017 – Central Tax  dated 13th October 2017, table 4A (details of reverse charge) does not have to be included for the quarters of Jul-Sep 17 & Oct-Dec 17 .

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  1. Amendments to details of inward supplies furnished in return for earlier tax periods in Table 4 [including Debit Note/Credit Notes and their subsequent amendments]:

Any change in the details of inward supplies for earlier tax periods can be made here. The details of an invoice which needs to be corrected like invoice amount, amount of tax, etc. should be mentioned in this table.

Also, a Debit Note or a Credit Note issued by the taxpayer has to be entered here.

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  1. Tax on outward supplies made (net of advance and goods returned):

All sales made by Composition dealer need to be entered in this table. The total value of all the Bill of Supply raised during the quarter has to be entered in the Turnover field. The GST amount has to be segregated into CGST and SGST/UTGST.

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  1. Amendments in Outwards Supply details furnished in returns for earlier tax periods in Table No.6:

Any change to be made to details of sales provided in previous returns is required to be stated here along with original details.

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  1. Consolidated Statement of Advances paid/Adjusted on Account of Receipt of Supply:

All advances paid for reverse charge supplies have to be specified here.

Also, all advances paid on which tax was paid in earlier period but invoice is received in current period should be entered in Table 8. This amount will be reduced from the total tax liability.

All amendments to be made to advances mentioned in the previous period’s return should also be entered.

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  1. TDS Credit received:

Any TDS deducted by the supplier while making payment to the composition dealer has to be entered in this table. GSTIN of the deductor, Gross Invoice value and the TDS amount should be mentioned here.

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  1. Tax payable and paid:

Total tax liability and the tax paid have to be specified in this table. IGST, CGST, SGST/UTGST and Cess have to be separately mentioned here.

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  1. Interest, Late Fee payable and paid:

Interest and late fees payable for late filing or late payment of GST has to be mentioned here. The interest or late fees payable and the payment actually made should also be stated in this table.

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  1. Refund claimed from Electronic cash ledger:

Any refund of excess taxes paid can be claimed here. The refund has to be further segregated into tax, interest, penalty, fees and others.

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  1. Debit entries in cash ledger for tax/ interest payment [to be populated after payment of tax and submission of return]:

All GST payments made in cash reflect here. The payments have to be further segregated into tax paid through cash, interest paid and late fees paid.

Once all these details are filled in the sign off with a declaration that all information has been supplied and is correct.

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