As we know from January, 2021 the QRMP scheme has been launched, so let’s discuss a few FAQ on same:
A. Eligibility and Opting for the scheme:
1. What is “Quarterly Returns with Monthly Payment (QRMP)” Scheme?
QRMP scheme is for small taxpayers to file their FORM GSTR-1 and FORM GSTR-3B returns on quarterly basis while paying their tax dues monthly through a simple challan.
2. Am I eligible for the scheme?
All taxpayers whose aggregate turnover is up to Rs. 5 Crore in the current and preceding financial year and have filed their last due GSTR-3B return are eligible for this scheme.
3. How do I avail this scheme?
Taxpayers can opt in (avail) the scheme and opt out (exit) if they don’t wish to continue quarterly filing by navigating to Login-> Services -> Returns -> Opt-in for quarterly return.
4. Can I avail the scheme at any time?
You can opt in or opt out of the scheme as follows:- Quarter Between
Q1 (April –May – June) 1st February to 30th April
Q2 (July – August – September) 1st May to 31st July
Q3 (October – November – December) 1st August to 31st October
Q4 (January – February – March) 1st November to 31st January.
5. Do I need to enter the scheme every quarter to avail its benefit?
No, once opted in, the scheme will continue for you, unless you decide to exit or opt out.
6. I have multiple GSTINs on the same PAN in different States, can I opt in for different frequency in different States?
Yes, you may opt in for different frequencies (monthly or quarterly) in different States.
B. Actions required for first two months of the quarter:
7. Do I have to do anything in the first two months of the quarter?
Yes, you have to generate a payment challan for the first two months of the quarter. You have an option to either self-assess your liability or pay 35% of cash liability paid in the FORM GSTR-3B for the last quarter (in case of where GSTR 3B was filed quarterly) or 100% of the cash liability paid in the FORM GSTR-3B for the last month (in case where FORM GSTR-3B was filed monthly) through a challan. However, you do not have to take any action in the following cases:-
a) Aggregate balance in your electronic cash ledger and electronic credit ledger is greater than liability
for that month.
b) You have No or Nil liability for that month.
8. By when do I have to deposit such amount?
Generally, Challan is to be generated by the 25th of the next month. For example, for the month of January challan has to be generated by 25th of February. However, there may be instances where such date may be extended by the Government.
9. What is self-assessment of liability?
Self-assessment of liability means that you calculate your taxes for a month by ascertaining outward supplies made during the month and your available input tax credit. A challan may be generated for the amount of self assessed liability. Please note that while generating this challan, please choose -> “Monthly Payment for Quarterly Returns” as the reason for making such payment.
10. How do I generate a challan?
To view detailed instruction on generating of challan. Click here.
11. If I have deposited cash in the first month, can the same be accounted for adequate cash in the cash ledger for the second month?
NO. It may be noted that cash deposited in the first month against your liability for the first month cannot be considered for balance for your electronic cash ledger for the second month. The action to be taken in the second month should be considered based on the balance in cash ledger after the deposit made for the first month.
12. What is 35% option?
If you do not want to pay self-assessed tax, then you may simply deposit 35% of net cash paid by you in your last quarterly GSTR-3B filed or 100% of the net cash paid in your last monthly FORM GSTR 3B (whichever is applicable). Please note that while generating this challan, please choose -> “Monthly Payment for Quarterly Returns (35%)” as the reason for making such payment.
This will be an auto-calculated system generated challan and no calculation / assessment has to be done by you. Taxpayers may note that no interest would be payable in case the tax due is paid in the first two months of the quarter by way of depositing auto-calculated system generated challan as detailed in by the 25th of the succeeding month.
13. At some places, I see 100% auto-population instead of 35%, why is that?
If your last FORM GSTR-3B filed was for a complete quarter, then the system will generate 35% of your last quarter’s net cash paid. However, if your last FORM GSTR-3B filed was for a one complete month, then the system will generate 100% of your last month’s net cash paid. You need not worry for this, as this is a completely system generated process.
14. Is everyone allowed to file self-assessment and 35% challan?
Self-assessment can be done by all quarterly taxpayers. However, 35% challan will not be made available for the following persons:
• New taxpayers,
• Taxpayers who have opted out of the composition scheme, and
• Those who have not filed their last FORM GSTR-3B.
15. Is it mandatory for exercising the same option for both the months?
No, you may choose self-assessment or 35% as per your own choice for any of the months.
16. Is there any late fee for delayed payment of tax for any of the first two months?
No, there is no late fee for delayed payment of tax for any of the first two months.
17. Can I request for a cash ledger refund of any amount deposited in month M1 and M2?
No, Cash ledger refund under this scheme will only be allowed after the FORM GSTR-3B for that quarter has been filed. For example, if any amount has been deposited for the month of January, it will only be allowed for refund, once FORM GSTR-3B for the quarter ending March has been filed.
C. Optional Invoice Furnishing Facility:
18. What is invoice furnishing facility (IFF)?
An additional facility has been provided to taxpayers to file their invoices in month M1 and M2. The facility will be similar to FORM GSTR-1 but will allow filing for only B2B invoices, credit notes, debit notes etc.
19. Do I need to compulsorily file my invoices in M1 and M2 of every quarter in the IFF?
No, this is an optional facility.
20. Will this option be available every month?
Yes, this option will be available for month M1 and M2 for every quarter. The option to file such invoices will also expire by the 13th of the next month. For example, the facility for the month of January will expire by 13th of February.
21. Can I late file my invoices after the 13th of the month?
No, this option will close after the 13th of the month. Any invoices remaining may be filed using the IFF of the subsequent month or in the quarterly GSTR-1.
22. Will my recipient view these invoices in his GSTR-2A / 2B?
Yes, all invoices filed by you via the invoice furnishing facility will be displayed in GSTR-2A and GSTR2B of the recipient.
23. Do I have to re-enter the details entered through invoice furnishing facility in the GSTR-1 for the quarter?
No, once details have been filed in IFF, the same need not be filed again in GSTR-1 for the quarter.
Remember 13st is the last date to file IFF for January 2021.
To read full FAQ CLICK HERE.