It is a monthly return to be filed by every e-commerce operator registered under GST. Therefore, it is required to be filed by those who collect TCS on outward supplies of goods and/ or services effect through the e-commerce Portal/platform (maintained by the e-commerce operator) made by taxable persons registered with it. The GSTR-8 is a monthly report that all e-commerce businesses with GST registrations are required to submit. The GSTR-8 form must contain information on taxable supplies as well as the tax that the e-commerce operator has collected at the source. By the 10th of the next month, the return in Form GSTR-8 must be submitted to the GST(GOODS AND SERVICES TAX) Portal.
Along with that, the form also contains details of the consumers, payable tax, and paid tax amount. Under section 52 of the Central Goods and Services Tax Act, 2017 (“CGST ACT”), GSTR-8 filing is mandatory for registered commerce operators because, under the same law, the commerce platform is defined as a place that different vendors and customers use for receiving and supplying goods or services to the online market.
E-COMMERCE OPERATOR RETURN
Any person who owns or manages a digital or electronic facility or platform for electronic commerce can be said to be an e-commerce operator. For instance Nykaa, Amazon, Flipkart, etc. An E-commerce operator is a platform whereby the sellers can reach out to a large number of customers. Thereby, the e-commerce operators as well as customers also get benefits. This is also because they get access to multiple sellers and competitive prices for the desired product or service.
The e-commerce companies who are required to deduct TCS (Tax Collected at Source) under GST must file a return known as GSTR-8. The information on supplies made through an e-commerce platform, as well as the amount of TCS received on those goods, is contained in GSTR-8.
- Every e-commerce operator, registered under the GST regime must file the GSTR-8 return
- GSTR-8 must be filed on or before the 10th of the following month of a certain tax period
- Part D of GSTR 2A contains all the details of GSTR-8, filed by the e-commerce operator.
- The e-commerce portal deducts TCS from the supplier of goods and services and deposits the same amount to the Government
- The e-commerce operators deduct 1% of TCS on all the goods and services sold through the portal
IMPORTANCE OF FILING GSTR 8 ON THE GST PORTAL
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The information on the supplies made possible by the e-commerce platform is displayed in GSTR-8, together with the TCS that was paid for those supplies.
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If TCS (Tax Collected at Source) is available, the supplier may claim the ITC(input tax credit) for any TCS that was deducted by the e-commerce operator after the e-commerce operator filed the GSTR-8
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If you are an e-commerce operator registered under GST, you are required to file a monthly return known as GSTR-8. This return is filed by those who collect TCS on outward supplies of goods and/or services effected through the e-commerce portal/platform maintained by the e-commerce operator and made by taxable persons registered with it.
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GSTR-8 is a monthly report that all e-commerce businesses with GST registrations must submit. The form must contain information on taxable supplies as well as the tax that the e-commerce operator has collected at the source. The return in Form GSTR-8 must be submitted to the GST Portal by the 10th of the following month.
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The form also contains details of the customers, payable tax, and the paid tax amount. Under section 52 of the Central Goods and Services Tax Act, 2017 (“CGST ACT”), GSTR-8 filing is mandatory for registered e-commerce operators because, under the same law, the e-commerce platform is defined as a place that different vendors and customers use for receiving and supplying goods or services to the online market.
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Any person who owns or manages a digital or electronic facility or platform for electronic commerce can be said to be an e-commerce operator. Examples of e-commerce operators include Nykaa, Amazon, Flipkart, and others.
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An e-commerce operator is a platform whereby sellers can reach out to a large number of customers. As a result, e-commerce operators and customers both benefit. This is because they get access to multiple sellers and competitive prices for the desired product or service. The e-commerce companies that are required to deduct TCS (Tax Collected at Source) under GST must file a return called GSTR-8.
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The information on supplies made through an e-commerce platform, as well as the amount of TCS received on those goods, is contained in GSTR-8. It is essential to file GSTR-8 on the GST Portal to report information on the supplies made possible by the e-commerce platform and the TCS that was paid for those supplies.
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If TCS is available, the supplier may claim the ITC (input tax credit) for any TCS that was deducted by the e-commerce operator after the e-commerce operator filed the GSTR-8. To file GSTR-8, log on to the GST Portal with a valid user ID. Then, select the Returns Dashboard command under Services. In the dialogue box below GSTR-8, click “PREPARE ONLINE.”
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Each tile that displays on the dashboard needs information entered. The form has tiles 3, 4, and 5. Tile 3 includes all the details of supplies attracting TCS. You need to supply the GSTIN of the supplier, the total dollar amount of goods produced and returned to that supplier by both registered and unregistered parties, and the amount gathered at the source under the IGST, CGST, and SGST headings. Tile 4 is for any amendments to the details of supplies attracting TCS.
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Under this option, the e-commerce operator’s earlier mistakenly submitted supplier-specific information for the specific month and financial year may be corrected. The supplier rejects details of transactions that the supplier refused or amended will show up under the option of “Rejected by Supplier”. Once all the information has been uploaded, select “Preview GSTR 8.”
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Verify the uploaded data, and then click “Proceed to File.” The “Ready to File” status for GSTR-8 will enable tiles 5 for “Details of Interest” and tiles 6 and 7 for “Payment of Tax.” If there is any, you can view the interest under the “Details of Interest” tile for the delay in paying the TCS debt, filing the TCS return, etc.
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Click the “Payment of Tax” tile after viewing the interesting tile to input the information about taxes paid for that particular month. Finally, one can submit the GSTR-8 return before or on the 10th of the following month of a certain tax period.
FILING OF GSTR 8
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Log on to the GST Portal, with a valid user ID.
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Select the Returns Dashboard command under Services
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In the dialogue box below GSTR-8, click “PREPARE ONLINE.”
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Each tile that displays on the dashboard needs information entered. The following three tiles are shown on the following screen:
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Tile 3 – Information regarding Tax collected at source (TCS) for the current month must be supplied here.
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Title 4 – You can edit the information about the prior era using this option. There will not be any revisions in the first month because the GSTR-8 for October 2018 is the first return.
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Tile 5 – View the information on the interest that is due for late payment of taxes collected to the government in Tile 5.
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The third tile, “Details of Supplies attracting TCS,” includes all the information and press “Save.” Below is information that needs to be added:
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GSTIN of Supplier (auto-populated with Supplier’s name)
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The total dollar amount of goods produced and returned to that Supplier by both registered and unregistered parties;
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Submit the amount gathered at the source under the IGST, CGST, and SGST headings.
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In Tile 4, “Amendment to details of Supplies attracting TCS,” enter the accurate information in place of any incorrect details that were uploaded for any of the prior months. There are two situations where filing modifications to the returns are necessary:
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uploaded by the online retailer Under this option, the e-commerce operator’s earlier mistakenly submitted supplier-specific information for the specific month and financial year may be corrected.
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The supplier rejects Details of transactions that the supplier refused or amended will show up under the option of “Rejected by Supplier”. Click Save after inserting the updated data to return to the Amendment menu.
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Once all the information has been uploaded, select “Preview GSTR 8.” Verify the uploaded data, and then click “Proceed to File.”
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The “Ready to File” status for GSTR-8 will enable tiles 5 for “Details of Interest” and tiles 6 and 7 for “Payment of Tax.”
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If there is any, you can view the interest under the “Details of Interest” tile for the delay in paying the TCS debt, filing the TCS return, etc.
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Click the “Payment of Tax” tile after viewing the interesting tile to input the information about taxes paid for that particular month;
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Finally, one can acknowledge the declaration for filing the GSTR-8 and examine the draught GSTR-8. Next, select “File GSTR 8.” Use the authorized signatory’s Digital signature or an Electronic Verification Code (EVC).
IMPORTANT INFORMATION ABOUT THE GSTR 8
You must meet the requirements specified below to file a GSTR 8 return.
- You must have 15 15-digit GSTIN (Goods and Service Tax Identification Number).
- Your business should generate more than INR 20 lakhs in annual income.
- You must operate an online marketplace where other merchants and companies sell their items to customers to be an e-commerce operator.
- The filing of this return is not permitted by non-resident taxpayers.
- For all transactions made through your online platform, you are required to keep thorough records of all taxes that were collected at the point of sale.
- Every eligible tax filer must have a valid Digital Signature Certificate (DSC) and a phone number that is registered.
CONCLUSION
In conclusion, the GSTR-8 return is mandatory for all e-commerce operators registered under GST. It is a monthly report that contains information on taxable supplies and the amount of TCS collected at the source. The information in GSTR-8 is crucial for claiming input tax credit for any TCS that was deducted by the e-commerce operator. To file GSTR-8, one needs to log in to the GST portal and enter the required information in the appropriate tiles. The return must be filed on or before the 10th of the following month of a certain tax period. Filing GSTR-8 on time is important to avoid any penalties and to ensure compliance with GST regulations.
Once submitted, GSTR-8 cannot be changed. Any errors can be fixed in the return for the next month. This means that if an error is made in the September GSTR-8, it may be corrected in the October GSTR-8 or in subsequent months when the error or omission is discovered. As a result, the taxpayer must complete the form accurately.
This blog is written by Kratika Pal.
