37. Furnishing details of outward supplies
(1) Every registered person, other than an Input Service
Distributor, a non-resident taxable person and a person paying tax under
the provisions of section 10 or section 51 or section 52, shall furnish,
electronically, in such form and manner as may be prescribed, the details of
outward supplies of goods or services or both effected during a tax period on
or before the tenth day of the month succeeding the said tax period and such
details shall be communicated to the recipient of the said supplies within
such time and in such manner as may be prescribed :
Provided that the registered person shall not be allowed to furnish the
details of outward supplies during the period from the eleventh day to the
fifteenth day of the month succeeding the tax period :
Provided further that the Commissioner may, for reasons to be recorded
in writing, by notification, extend the time limit for furnishing such details
for such class of taxable persons as may be specified therein :
Provided also that any extension of time limit notified by the
Commissioner of central tax shall be deemed to be notified by the
Commissioner.
(2) Every registered person who has been communicated the details
under sub-section (3) of section 38 or the details pertaining to inward supplies
of Input Service Distributor under sub-section (4) of section 38, shall either
accept or reject the details so communicated, on or before the seventeenth
day, but not before the fifteenth day, of the month succeeding the tax period
and the details furnished by him under sub-section (1) shall stand amended
accordingly.
(3) Any registered person, who has furnished the details under subsection
(1) for any tax period and which have remained unmatched under
section 42 or section 43, shall, upon discovery of any error or omission therein,
rectify such error or omission in such manner as may be prescribed, and
shall pay the tax and interest, if any, in case there is a short payment of tax
on account of such error or omission, in the return to be furnished for such
tax period :
Provided that no rectification of error or omission in respect of the details furnished under sub-section (1) shall be allowed after furnishing of the return under section 39 for the month of September following the end of the financial year to which such details pertain, or furnishing of the relevant annual return, whichever is earlier.
Explanation.––For the purposes of this Chapter, the expression “details
of outward supplies” shall include details of invoices, debit notes, credit notes
and revised invoices issued in relation to outward supplies made during any
tax period.
38. Furnishing details of inward supplies
(1) Every registered person, other than an Input Service Distributor
or a non-resident taxable person or a person paying tax under the provisions
of section 10 or section 51 or section 52, shall verify, validate, modify or delete,
if required, the details relating to outward supplies and credit or debit notes
communicated under sub-section (1) of section 37 to prepare the details of
his inward supplies and credit or debit notes and may include therein, the
details of inward supplies and credit or debit notes received by him in respect
of such supplies that have not been declared by the supplier under sub-section
(1) of section 37.
(2) Every registered person, other than an Input Service Distributor or
a non-resident taxable person or a person paying tax under the provisions of
section 10 or section 51 or section 52, shall furnish, electronically, the details
of inward supplies of taxable goods or services or both, including inward
supplies of goods or services or both on which the tax is payable on reverse
charge basis under this Act and inward supplies of goods or services or both
taxable under the Integrated Goods and Services Tax Act or on which
integrated goods and services tax is payable under section 3 of the Customs
Tariff Act, 1975 (51 of 1975), and credit or debit notes received in respect of such supplies during a tax period after the tenth day but on or before the fifteenth day of the month succeeding the tax period in such form and manner as may be prescribed :
Provided that the Commissioner may, for reasons to be recorded in
writing, by notification, extend the time limit for furnishing such details for
such class of taxable persons as may be specified therein :
Provided further that any extension of time limit notified by the
Commissioner of central tax shall be deemed to be notified by the
Commissioner.
(3) The details of supplies modified, deleted or included by the recipient
and furnished under sub-section (2) shall be communicated to the supplier
concerned in such manner and within such time as may be prescribed.
(4) The details of supplies modified, deleted or included by the recipient
in the return furnished under sub-section (2) or sub-section (4) of section 39
shall be communicated to the supplier concerned in such manner and within
such time as may be prescribed.
(5) Any registered person, who has furnished the details under subsection
(2) for any tax period and which have remained unmatched under
section 42 or section 43, shall, upon discovery of any error or omission therein,
rectify such error or omission in the tax period during which such error or
omission is noticed in such manner as may be prescribed, and shall pay the
tax and interest, if any, in case there is a short payment of tax on account of
such error or omission, in the return to be furnished for such tax period :
Provided that no rectification of error or omission in respect of the details furnished under sub-section (2) shall be allowed after furnishing of the return under section 39 for the month of September following the end of the financial year to which such details pertain, or furnishing of the relevant annual return, whichever is earlier.
39. Furnishing of returns.
(1) Every registered person, other than an Input Service Distributor
or a non-resident taxable person or a person paying tax under the provisions
of section 10 or section 51 or section 52 shall, for every calendar month or
part thereof, furnish, in such form and manner as may be prescribed, a return,
electronically, of inward and outward supplies of goods or services or both,
input tax credit availed, tax payable, tax paid and such other particulars as
may be prescribed on or before the twentieth day of the month succeeding
such calendar month or part thereof.
(2) A registered person paying tax under the provisions of section 10
shall, for each quarter or part thereof, furnish, in such form and manner as
may be prescribed, a return, electronically, of turnover in the State, inward
supplies of goods or services or both, tax payable and tax paid within eighteen
days after the end of such quarter.
(3) Every registered person required to deduct tax at source under the
provisions of section 51 shall furnish, in such form and manner as may be
prescribed, a return, electronically, for the month in which such deductions
have been made within ten days after the end of such month.
(4) Every taxable person registered as an Input Service Distributor shall,
for every calendar month or part thereof, furnish, in such form and manner
as may be prescribed, a return, electronically, within thirteen days after the
end of such month.
(5) Every registered non-resident taxable person shall, for every
calendar month or part thereof, furnish, in such form and manner as may be
prescribed, a return, electronically, within twenty days after the end of a
calendar month or within seven days after the last day of the period of
registration specified under sub-section (1) of section 27, whichever is earlier.
(6) The Commissioner may, for reasons to be recorded in writing, by
notification, extend the time limit for furnishing the returns under this section
for such class of registered persons as may be specified therein :
Provided that any extension of time limit notified by the Commissioner
of central tax shall be deemed to be notified by the Commissioner.
(7) Every registered person, who is required to furnish a return under
sub-section (1) or sub-section (2) or sub-section (3) or sub-section (5), shall
pay to the Government the tax due as per such return not later than the last
date on which he is required to furnish such return.
(8) Every registered person who is required to furnish a return under
sub-section (1) or sub-section (2) shall furnish a return for every tax period
whether or not any supplies of goods or services or both have been made
during such tax period.
(9) Subject to the provisions of sections 37 and 38, if any registered person after furnishing a return under sub-section (1) or sub-section (2) or sub-section (3) or sub-section (4) or sub-section (5) discovers any omission or incorrect particulars therein, other than as a result of scrutiny, audit, inspection or enforcement activity by the tax authorities, he shall rectify such omission or
incorrect particulars in the return to be furnished for the month or quarter
during which such omission or incorrect particulars are noticed, subject to
payment of interest under this Act :
Provided that no such rectification of any omission or incorrect
particulars shall be allowed after the due date for furnishing of return for
the month of September or second quarter following the end of the financial
year, or the actual date of furnishing of relevant annual return, whichever is
earlier.
(10) A registered person shall not be allowed to furnish a return for a
tax period if the return for any of the previous tax periods has not been
furnished by him.
40. First Return
Every registered person who has made outward supplies in the
period between the date on which he became liable to registration till the
date on which registration has been granted shall declare the same in the
first return furnished by him after grant of registration.
41. Claim of input tax credit and provisional acceptance thereof
(1) Every registered person shall, subject to such conditions and
restrictions as may be prescribed, be entitled to take the credit of eligible
input tax, as self-assessed, in his return and such amount shall be credited
on a provisional basis to his electronic credit ledger.
(2) The credit referred to in sub-section (1) shall be utilised only for
payment of self-assessed output tax as per the return referred to in the said
sub-section.
42. Matching, reversal and reclaim of input tax credit
(1) The details of every inward supply furnished by a registered
person (hereafter in this section referred to as the “recipient”) for a tax period
shall, in such manner and within such time as may be prescribed, be
matched—
(a) with the corresponding details of outward supply furnished by
the corresponding registered person (hereafter in this section referred
to as the “supplier”) in his valid return for the same tax period or any
preceding tax period ;
(b) with the integrated goods and services tax paid under section 3
of the Customs Tariff Act, 1975(51 of 1975) in respect of goods imported by him ; and
(c) for duplication of claims of input tax credit.
(2) The claim of input tax credit in respect of invoices or debit notes
relating to inward supply that match with the details of corresponding
outward supply or with the integrated goods and services tax paid under
section 3 of the Customs Tariff Act, 1975(51 of 1975) in respect of goods imported by him shall be finally accepted and such acceptance shall be communicated, in such manner as may be prescribed, to the recipient.
(3) Where the input tax credit claimed by a recipient in respect of an
inward supply is in excess of the tax declared by the supplier for the same
supply or the outward supply is not declared by the supplier in his valid
returns, the discrepancy shall be communicated to both such persons in such
manner as may be prescribed.
(4) The duplication of claims of input tax credit shall be communicated
to the recipient in such manner as may be prescribed.
(5) The amount in respect of which any discrepancy is communicated
under sub-section (3) and which is not rectified by the supplier in his valid
return for the month in which discrepancy is communicated shall be added
to the output tax liability of the recipient, in such manner as may be
prescribed, in his return for the month succeeding the month in which the
discrepancy is communicated.
(6) The amount claimed as input tax credit that is found to be in excess
on account of duplication of claims shall be added to the output tax liability
of the recipient in his return for the month in which the duplication is
communicated.
(7) The recipient shall be eligible to reduce, from his output tax liability,
the amount added under sub-section (5), if the supplier declares the details
of the invoice or debit note in his valid return within the time specified in
sub-section (9) of section 39.
(8) A recipient in whose output tax liability any amount has been added
under sub-section (5) or sub-section (6), shall be liable to pay interest at the
rate specified under sub-section (1) of section 50 on the amount so added
from the date of availing of credit till the corresponding additions are made
under the said sub-sections.
(9) Where any reduction in output tax liability is accepted under subsection (7), the interest paid under sub-section (8) shall be refunded to the
recipient by crediting the amount in the corresponding head of his electronic
cash ledger in such manner as may be prescribed :
Provided that the amount of interest to be credited in any case shall not
exceed the amount of interest paid by the supplier.
(10) The amount reduced from the output tax liability in contravention
of the provisions of sub-section (7) shall be added to the output tax liability of
the recipient in his return for the month in which such contravention takes
place and such recipient shall be liable to pay interest on the amount so
added at the rate specified in sub-section (3) of section 50.
43. Matching, reversal and reclaim of reduction in output tax liability
(1) The details of every credit note relating to outward supply
furnished by a registered person (hereafter in this section referred to as the
“supplier”) for a tax period shall, in such manner and within such time as
may be prescribed, be matched––
(a) with the corresponding reduction in the claim for input tax credit
by the corresponding registered person (hereafter in this section referred
to as the “recipient”) in his valid return for the same tax period or any
subsequent tax period ; and
(b) for duplication of claims for reduction in output tax liability.
(2) The claim for reduction in output tax liability by the supplier that
matches with the corresponding reduction in the claim for input tax credit
by the recipient shall be finally accepted and communicated, in such manner
as may be prescribed, to the supplier.
(3) Where the reduction of output tax liability in respect of outward
supplies exceeds the corresponding reduction in the claim for input tax credit
or the corresponding credit note is not declared by the recipient in his valid
returns, the discrepancy shall be communicated to both such persons in such
manner as may be prescribed.
(4) The duplication of claims for reduction in output tax liability shall
be communicated to the supplier in such manner as may be prescribed.
(5) The amount in respect of which any discrepancy is communicated
under sub-section (3) and which is not rectified by the recipient in his valid
return for the month in which discrepancy is communicated shall be added
to the output tax liability of the supplier, in such manner as may be
prescribed, in his return for the month succeeding the month in which the
discrepancy is communicated.
(6) The amount in respect of any reduction in output tax liability that is
found to be on account of duplication of claims shall be added to the output
tax liability of the supplier in his return for the month in which such
duplication is communicated.
(7) The supplier shall be eligible to reduce, from his output tax liability,
the amount added under sub-section (5) if the recipient declares the details
of the credit note in his valid return within the time specified in sub-section
(9) of section 39.
(8) A supplier in whose output tax liability any amount has been added
under sub-section (5) or sub-section (6), shall be liable to pay interest at the
rate specified under sub-section (1) of section 50 in respect of the amount so
added from the date of such claim for reduction in the output tax liability till
the corresponding additions are made under the said sub-sections.
(9) Where any reduction in output tax liability is accepted under subsection
(7), the interest paid under sub-section (8) shall be refunded to the
supplier by crediting the amount in the corresponding head of his electronic
cash ledger in such manner as may be prescribed :
Provided that the amount of interest to be credited in any case shall not
exceed the amount of interest paid by the recipient.
(10) The amount reduced from output tax liability in contravention of
the provisions of sub-section (7) shall be added to the output tax liability of
the supplier in his return for the month in which such contravention takes
place and such supplier shall be liable to pay interest on the amount so added
at the rate specified in sub-section (3) of section 50.
44. Annual return
(1) Every registered person, other than an Input Service
Distributor, a person paying tax under section 51 or section 52, a casual taxable
person and a non-resident taxable person, shall furnish an annual return for
every financial year electronically in such form and manner as may be
prescribed on or before the thirty-first day of December following the end of
such financial year.
(2) Every registered person who is required to get his accounts audited
in accordance with the provisions of sub-section (5) of section 35 shall furnish,
electronically, the annual return under sub-section (1) along with a copy of
the audited annual accounts and a reconciliation statement, reconciling the
value of supplies declared in the return furnished for the financial year with
the audited annual financial statement, and such other particulars as may be
prescribed.
45. Final return
Every registered person who is required to furnish a return under
sub-section (1) of section 39 and whose registration has been cancelled shall
furnish a final return within three months of the date of cancellation or date
of order of cancellation, whichever is later, in such form and manner as may
be prescribed.
46. Notice to return defaulters.
Where a registered person fails to furnish a return under section
39 or section 44 or section 45, a notice shall be issued requiring him to furnish
such return within fifteen days in such form and manner as may be prescribed.
47. Levy of late fee.
(1) Any registered person who fails to furnish the details of outward
or inward supplies required under section 37 or section 38 or returns required
under section 39 or section 45 by the due date shall pay a late fee of one
hundred rupees for every day during which such failure continues subject to
a maximum amount of five thousand rupees.
(2) Any registered person who fails to furnish the return required under
section 44 by the due date shall be liable to pay a late fee of one hundred
rupees for every day during which such failure continues subject to a
maximum of an amount calculated at a quarter per cent. of his turnover in
the State.
48. Goods and services tax practitioners.
(1) The manner of approval of goods and services tax practitioners,
their eligibility conditions, duties and obligations, manner of removal and
other conditions relevant for their functioning shall be such as may be
prescribed.
(2) A registered person may authorise an approved goods and services
tax practitioner to furnish the details of outward supplies under section 37,
the details of inward supplies under section 38 and the return under section
39 or section 44 or section 45 in such manner as may be prescribed.
(3) Notwithstanding anything contained in sub-section ( 2), the
responsibility for correctness of any particulars furnished in the return or
other details filed by the goods and services tax practitioners shall continue
to rest with the registered person on whose behalf such return and details
are furnished.
