Forum Thread

Screenshot

Visitors can read the forum. Guests that login first, can add a reply or get notified of new replies.

Payment of Tax by Fixed Sum Method under QRMP Scheme

Posted by: TaxField on 4/2/2021 3:47 PM

  • Payment of Tax by Fixed Sum Method under QRMP Scheme

  •  
    • 1. w.e.f. 1st January, 2021, following two options are available to the Taxpayers who are under Quarterly Returns and Monthly Payment of Tax (QRMP) Scheme for tax payment for first 02 months of a quarter:
    • a. Fixed Sum Method: Portal can generate a pre-filled challan in Form GST PMT-06 based on his past record.
  •  
  • b. Self-Assessment Method: The Tax due is to be paid on actual supplies after deducting the Input Tax Credit available.
  •  
  • 2. In fixed sum method, the 35% Challan can be generated by selecting the Reason For Challan>Monthly Payment for Quarterly Return> 35% Challan which is in turn calculated as per following situation:
  •  
  • a. 35% of amount paid as tax from Electronic Cash Ledger in their preceding quarter GSTR 3B return, if it was furnished on quarterly basis; or
  •  
  • b. 100% of the amount paid as tax from Electronic Cash Ledger in their GSTR-3B return for the last month of the immediately preceding quarter, if it was furnished on monthly basis.
  •  
  • 3. It is to note that, for the months of Jan and Feb, 2021, in Q4 of 2020-21, the auto-populated challan generated under 35% Challan would contain 100% of the tax liability discharged from Electronic Cash Ledger for the month of December, 2020 (and not 35%). [Reason: Till December 2020, all taxpayers were filing GSTR-3B return on a monthly basis.]
  •  
  • 4. From April, 2021 onwards, the pattern as suggested at Para 2 (a) and (b) would follow.
  •  
  • 5. It is noteworthy, that the taxpayers are not required to deposit any amount for the first 02 months of a quarter, if:
  •  
  • a. Balance in Electronic Cash Ledger / Electronic Credit Ledger is sufficient for tax due for the first/ second month of the quarter; or
  • b. There is NIL tax liability

 

Add Reply:
Please login or register to add your reply or get notified when a reply is added.
1 person will be notified when a reply is added.
Forum Participation

We encourage you to register or login to reply to a forum thread. Please be aware that this forum is monitored and so please be mindful that mean-spirited replies or spam will be edited or removed as necessary.

You can also contact us if you feel a particular reply is not productive.

GST, Customs & Income Tax Advisors | GST, IGST, Drawback Refunds | Reply to Notice, Appeal filing, Dispute / Litigation resolving