We all know that irrespective of the turnover all the tax payers are required to furnish GSTR-3B return every month by 20th / 22nd or 24th of next month. However a latest update is there in this regard wherein some tax payers will be eligible to file GSTR-3B return on quarterly basis with effect from January,2021 onwards. Further a new Rule 61A has been inserted in CGST Rules and special procedure of payment of GST notified for such taxpayers.
Further CBIC has issued Circular No. 143/13/2020-GST dated 10-11-2020 on the quarterly return monthly payment scheme.
New Rule 61A inserted in CGST Rules for quarterly filing of GSTR-3B
Vide Notification No. No. 82/2020–Central Tax dated 10-11-2020 new Rule 61A has been inserted in CGST Rules,2017, which is reproduced as under:-
61A. Manner of opting for furnishing quarterly return.- (1) Every registered person intending to
furnish return on a quarterly basis under proviso to sub-section (1) of section 39, shall in accordance with the conditions and restrictions notified in this regard, indicate his preference for furnishing of return on a quarterly basis, electronically, on the common portal, from the 1st day of the second month of the preceding quarter till the last day of the first month of the quarter for which the option is being exercised:
Provided that where such option has been exercised once, the said registered person shall continue to furnish the return on a quarterly basis for future tax periods, unless the said registered person,–
(a) becomes ineligible for furnishing the return on a quarterly basis as per the conditions and
restrictions notified in this regard; or
(b) opts for furnishing of return on a monthly basis, electronically, on the common portal:
Provided further that a registered person shall not be eligible to opt for furnishing quarterly return
in case the last return due on the date of exercising such option has not been furnished.
(2) A registered person, whose aggregate turnover exceeds 5 crore rupees during the current financial year, shall opt for furnishing of return on a monthly basis, electronically, on the common portal, from the first month of the quarter, succeeding the quarter during which his aggregate turnover exceeds 5 crore rupees.
Which taxpayers can file GSTR-3B quarterly
In this regard Notification No. 84/2020–Central Tax dated 10-11-2020 has been issued wherein filing of GSTR-3B quarterly can be made by registered persons (other than supplier of OIDAR services), having an aggregate turnover of up to Rs 5 Crore in the preceding financial year who have opted to furnish a return for every quarter, under sub rule (1) of rule 61A of the CGST Rules, 2017.
Such tax payers can furnish GSTR-3B for every quarter from January, 2021 onwards, and pay the tax due every month in accordance with the proviso to section 39(7) of CGST Act, in case:
(i) the return for the preceding month, as due on the date of exercising such option, has been
furnished
(ii) where such option has been exercised once, they shall continue to furnish the return as per the
selected option for future tax periods, unless they revise the same.
The Notification also states that a registered person whose aggregate turnover crosses Rs 5 Crores during a quarter in a financial year shall not be eligible for furnishing of return on quarterly basis from the first month of the succeeding quarter.
Deemed option
For convenience of tax payers it has been provided that tax payers who have furnished the GSTR-3B return for the tax period October, 2020 on or before 30th November, 2020, it shall be deemed that they have opted under sub-rule (1) of rule 61A of the said rules for the monthly or quarterly furnishing of return as under:
| Sl. No. | Class of registered person | Deemed Option |
| 1. | Registered persons having aggregate turnover of up to 1.5 crore rupees, who have furnished FORM GSTR-1 on quarterly basis in the current financial year | Quarterly return |
| 2. | Registered persons having aggregate turnover of up to 1.5 crore rupees, who have furnished FORM GSTR-1 on monthly basis in the current financial year | Monthly return |
| 3. | Registered persons having aggregate turnover more than 1.5 crore rupees and up to 5 crore rupees in the preceding financial year | Quarterly return |
Change in default option permissible
As per Notification No. 84/2020–Central Tax dated 10-11-2020 the registered persons as given in table above, may change the default option electronically, on the common portal, during the period from the 5th December, 2020 to the 31st January, 2021.
Special procedure of payment of GST from 1st January,2021
In regard to taxpayers who have opted for quarterly filing of GSTR-3B is discussed above special procedure for payment of tax under proviso to sub-section (7) of section 39 of the said Act has been prescribed vide Notification No. 85/2020–Central Tax dated 10-11-2020. The special procedure of payment of tax in the first or second month or both months of the quarter is discussed as under:
Taxpayer need to make a deposit of an amount in the electronic cash ledger equivalent to, –
(i) 35% of the tax liability paid by debiting the electronic cash ledger in the return for the preceding quarter where the return is furnished quarterly; or
(ii) the tax liability paid by debiting the electronic cash ledger in the return for the last month of the
immediately preceding quarter where the return is furnished monthly.
No such amount may be required to be deposited-
(a) for the first month of the quarter, where the balance in the electronic cash ledger or electronic
credit ledger is adequate for the tax liability for the said month or where there is nil tax liability ;
(b) for the second month of the quarter, where the balance in the electronic cash ledger or
electronic credit ledger is adequate for the cumulative tax liability for the first and the second
month of the quarter or where there is nil tax liability
Taxpayer shall not be eligible for special procedure
It has been stated in Notification that registered person shall not be eligible for the said special procedure unless he has furnished the return for a complete tax period (tax period in which the person is registered from the first day of the tax period till the last day of the tax period) preceding such month.
CBIC Circular on quarterly filing of GSTR-3B and monthy payment scheme
READ NOTIFICATION:
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Frah Saeed is a law graduate specializing in the core field of indirect taxes and is the Co-founder of taxwallah.com. She has authored many publications on GST and is into full-time consultancy on GST to big corporates. She as a part of taxwallah.com heads a team comprising of Chartered Accountants and Advocates and plays a key role in our mission to disseminate GST knowledge to all.
