December 26, 2022

GSTR-8: Return Filing, Format, Eligibility & Rules

GSTR-8 is a document or declaration that e-commerce firms must file. It is a form of monthly return that must be filed. It provides all of the information on the supplies delivered to clients via the taxpayer's e-commerce platform. It should also include information on the customer's basic information, the amount of tax deducted at the source, the tax payable, and the tax paid.

Who should file GSTR-8?

Every e-commerce business that is GST registered is needed to file GSTR-8. The GST Act defines an e-commerce operator as someone who owns or administers a digital or electronic facility or platform for electronic trade, such as Amazon. All such e-commerce firms are obliged to seek GST registration as well as TCS registration (Tax collection at source)

Who is considered an e-commerce operator?

Any individual who owns or operates a digital or electronic facility or platform for electronic commerce, such as Amazon or Flipkart, is an e-commerce operator. The e-commerce operator offers a platform through which businesses may access a huge number of customers by registering online on their platform. Customers profit as well because they have access to many sellers and compare prices for the desired goods.

Why is GSTR-8 important?

GSTR-8 shows the details of supplies affected through the e-commerce platform and the amount of TCS collected on such supplies. Currently, the Government has put the TCS provisions on hold. It is going to be applicable from 1st Oct 2018 onwards. In case of TCS is applicable, the supplier can take the input credit of such TCS deducted by the e-commerce operator after filing of GSTR-8 by the e-commerce operator. The amount of such TCS will be reflected in Part C of Form GSTR-2A of the supplier.

What are the requirements for submitting GSTR-8?

1. There are some requirements that need to be fulfilled if you want to file GSTR-8:

2. You must be a registered GST taxpayer with a 15-digit PAN-based GSTIN.

3. Your company's entire turnover should be more than 20 lakh rupees, but in the North East, it should be 10 lakhs.

4. You must be an e-commerce business with a marketplace online.

5. All registered taxpayers who have not chosen the composition scheme or who do not have a UIN (Unique Identification Number) are required to file a GSTR-8 return.

6. Non-resident taxpayers are not subject to it.

7. You must keep a record of the TCS (tax collected at source) data for transactions conducted through your marketplace.

Penalty for not filing.

If the GST return is not filed on time, a penalty of Rs 100 under CGST and Rs 100 under SGST each day would be charged. The total cost each day will be Rs. 200. The highest amount is Rs. 5,000. In the event of late submission, there is no late charge on IGST.

In addition to the late charge, interest of 18 percent per year must be paid. It must be determined by the taxpayer based on the amount of tax to be paid. The time period will run from the day after filing to the day of payment.

How to revise it?

Once submitted, GSTR-8 cannot be changed. Any errors in the return can be corrected in the next month's return. It implies that if an error is made in October GSTR-8, it can be corrected in November GSTR-8 or following months when the error or omission is discovered.

Details to be provided in GSTR-8

GSTR-8 has a total of 9 sections:

1. Provide GSTIN (provisional id can also be used as GSTIN if you do not have a GSTIN). 

The legal name of the registered person:

The name of the taxpayer will be auto-populated at the time of logging into the common GST Portal. 

Details of supplies made through e-commerce operator:

Mention the gross value of supplies made to registered persons and unregistered persons and the value of supplies returned by such registered and unregistered persons. The difference between the supplies made and supplies returned will be the net amount liable for TCS.  

Amendments to details of supplies in respect of any earlier statement:

Any correction to data submitted in the return of previous months can be done by filling in this section.

Details of interest:

If the amount of TCS is not paid on time by the e-commerce operator, then interest is levied on account of the late payment of the TCS amount.  

6. Tax payable and paid:

This head includes the total amount of tax payable under each head i.e SGST, CGST, and IGST, and how much tax has been paid to date.

7. Interest payable and paid:

Interest @ 18% is levied for the late payment of GST. The interest is calculated on the outstanding tax amount.

8. Refund claimed from electronic cash ledger:

Refunds from an electronic cash ledger can only be claimed only when all the TCS liability for that tax period has been discharged. 

9. Debit entries in cash ledger for TCS/interest payment [to be populated after payment of tax and submissions of return:

The amount of tax collected at the source will flow to Part C of GSTR-2A of the taxpayer on the filing of GSTR-8  


Check Out:  GSTR-2A, GSTR-7, GSTR-5.

Related Blog Post