The clarification was issued by the finance ministry after concerns were raised by industry that TRANS-I, the form for claiming transitional input tax credit, was not available on the GST Network (GSTN) website, yet the deadline for filing GSTR 3B, which is a summary of self-assessed tax liabilities with consolidated details of outward supplies and input credit, was notified to be August 20. The return filing had commenced on 5 August.
Till August 5, almost 87 lakh taxpayers had registered on the GSTN portal as taxpayers under GST. These entities will have to deposit taxes on the basis of self-assessment by 20 August, but they will have one more week till 28 August to file their returns. This form will be available on the GSTN website from August 21, 2017.
The Finance Ministry on Thursday said that the form for claiming transitional input tax credit will be available on the GSTN website from August 21. “The industry raised the working capital issue as without filing TRAN 1 they could not have taken the benefit of the opening credit, resulting in adverse cash flow impact in the first month of GST implementation”, says KPMG India, Partner, Priyajit Ghosh. The taxpayers who want to avail of the transitional input tax credit. “The taxpayers who want to avail of the transitional input tax credit will have to make full settlement of the liability after adjusting the transitional input tax credit before August 20”, the Ministry said.
The board, however, added that in such cases, the taxpayers will get time till August 28 to submit Form TRANS I and Form 3B on the GST Network, the IT back end. Also 15 lakh fresh registrations have happened on the portal.
According to the GST Act, the set-off of excess tax paid in the form of excise duty, Value Added Tax and Service Tax and outstanding as on June 30, is allowed while filing GST returns. Companies will have to file sale invoice for August with GST Network by 20 September instead of 10 September earlier.