Easy Guide of GSTR 5 with Online Form Return Filing Procedure

In the series of GSTR return form filing, we have already discussed the procedures for filing GSTR-1, GSTR-2, GSTR-3, and GSTR-4; this is GSTR-5 for the person registered under GST and is a non-resident. It requires the detailing of inward and outward supplies from the business.

Non-Resident Foreign Taxpayer: The non-resident foreign taxpayers not owning a business in India but making supplies in the country for a short period of time is liable to pay tax under GST. They need to pay tax, interest, fees, and penalty within 20 days after the tax period ends or after 7 days of the validation period of registration, whichever is earlier of the two dates.

Features of GSTR 5 Return Form

• A non-resident foreign person can enroll under GST through a temporary registration for a specific validity period
• This is the GST return form for registered non-resident foreigners doing business in India
• The GSTR-5 form can be filed from a Facilitation Centre or directly by the taxpayer
• The details of outward and inward supplies will be furnished in a single form
• GSTR 5 is to be filed and the tax (including penalty, fees, interest, etc.) is to be paid every month (for the registration period) by 20th of the next month for a particular tax period or within seven days after the end of the validity period of registration

GSTR 5 Eligibility – Who Should File It?

• The GSTR 5 return form is to be filed by a non-resident foreign taxpayer who is registered under GST and makes a supply of OIDAR services (Online information and database access or retrieval services) from outside the country to a non-taxable person in India
• Such a person can acquire a temporary registration through GST portal and file returns for the supplies made by him for a specific tax period. The person should not have a business establishment in India

Due Date (Deadline) for Filing GSTR 5 Return

The due date for GSTR-5 return form is 20th of the next month for a particular tax period, except for the months of July 2017.

GSTR 5 due date schedule is as below:

Year 2017 Returns – 15th December

Interest on Late Payment of GST & Penalty of Missing the GST Return Due Date

GST Council Stated that on every late payment of tax it is a provision of 18 percent tax rate to be annually charged on the tax of GST from the due date until the tax has been paid wholly. The guidelines in details are in chapter 10, 50th point: https://cbec-gst.gov.in/CGST-bill-e.html

Example – Taxpayer missing the deadline in the payment of GST taxes will be paying a calculative tax rate from the starting of the due date i.e 1000*18/100*1/365= Rs. 0.49 per day approximately.

(Rs. 1000 is the tax payment) (18% per annum is the calculative interest rate) (1 day is delayed time by the taxpayer)

Missing the taxpaying dead line will be calculated at the rate of Rs.100 for CGST and Rs.100 for SGST per day penalty which can be maximum INR 5000. The calculation will be done from the starting of the due dates.

Note: For subsequent months, i.e. October 2017 onwards, the amount of late fee payable by a taxpayer whose tax liability for that month was ‘NIL’will be Rs. 20/- per day (Rs. 10/- per day each under CGST & SGST Acts) instead of Rs. 200/- per day (Rs. 100/- per day each under CGST & SGST Acts).

Step by Step Procedure to File GSTR-5 Form Online

Table 1&2: Details of Taxpayer

• GSTIN: GSTIN stands for Goods and Services Taxpayer Identification Number. The GSTIN is a 15-digit number includes 2-digit state code,10-digit permanent account number, and 3-digit includes state, future use, and check-digit. It is auto-populated when we file returns
• Name of the Taxpayer: This is the name of Non-resident taxpayer owning business outside of india and supplies goods and services. This field is also auto-populated at the time of return filing
• Address: The business address of the taxpayer is auto-populated at the time of return filing
• Month-Year: The taxpayer requires to choose the date from drop down for which month and year GSTR-5 is being filed

Table 3: Imported Goods Details

• Goods Imported: All the goods imported into Indian territory need to mention in this category. Taxpayers have to fill HSN(Harmonized System of Nomenclature) code and other descriptions which are asked

Table 4: Modification To The Imported Goods Details

• Changes to Goods Imported: Changes regarding imported goods of an earlier period should be updated in this head. Any IGST rate change and bill of entry changes are covered under this

Table 5: B2B outward supplies

• Outward Supplies: The detailing of supplies made outside of India by Foreign taxpayers should be covered in this head. The description must include IGST, CGST, and SGST charged

Table 6: B2C Inter-state supplies where supply exceeds more than Rs. 2.5 lakh

• Inter-state supplies only more than 2.5 lakh – This head covers all the inter- state supplies made by a registered person to an unregistered person where the supplies should be more than Rs. 2.5 lakh

Table 7: Supplies other than mentioned in above head to an unregistered person

• The supplies from B2C which exceeds Rs. 2.5 lakh should be covered in above head and the supplies under Rs. 2.5 lakh from a registered person to an unregistered person are covered in this head. All the details are furnished by invoices issued at the time of supplies

Table 8: modification to the B2B outward or B2C inter-state supplies

• If there is any modification in the table-5 and table-6 from previous tax periods, the changes are updated in this head

Table 9: modification to table-7

• Any modification to table-7 where a registered person supplies to an unregistered person( if the supplies are under Rs. 2.5 lakh) to the previous tax period is done under this heading

Table 10: total Payable liability

• Payable Liability: The information is auto-populated from the above headings and shows the final GST liability. Here the taxpayer gets the separate tax liability against IGST, CGST, and SGST.

Table 11: Total Tax Paid

• Tax payable or paid: This head includes the detailing of the total tax paid under IGST, CGST, and SGST during tax period. This information auto-populated from the details given in above headings

Table 12: Interest and late fee payable or paid

• The heading is concerned about the interest, late fee and any other amount is payable or paid under CGST, IGST, and SGST

Table 13: Refunds claimed

• Refunds:This field is auto-populated if any refund amount received from Electronic Cash Ledger

Table 14: Debit entries

• Debit entries for tax and interest paid – When the tax is paid and return is successfully submitted, this information about the debit entries for tax and interest payment is auto-populated

After completing the details, the taxpayer needs to electronically sign the form for authentication that the furnished details are true.