Unit 4: Procedural compliance under GST

• Compulsory registration (Section 24) regardless of turnover: inter-state suppliers of goods, casual taxable persons, persons liable under reverse charge, e-commerce operators and sellers through them (goods), non-resident taxable persons, TDS/TCS deductors, input service distributors, online information database access and retrieval (OIDAR) suppliers.
• Threshold-based: aggregate turnover above ₹40 lakh (goods, normal states), ₹20 lakh (services).

• GSTIN (15 characters): state code (2) + PAN (10) + entity number (1) + "Z" (1) + check digit (1). Punjab state code is 03.
• Separate registration for each state; optional separate registration for business verticals.
• Amendment, cancellation (REG-16 by taxpayer; by officer for non-filing), revocation within prescribed time.

• Tax invoice (Section 31): issued by a registered supplier — for goods, before or at the time of removal/delivery; for services, within 30 days of supply (45 days for banks/insurers).
• Contents (Rule 46): name, address and GSTIN of supplier; serial number (up to 16 characters, unique for the year); date; recipient's name and GSTIN; HSN/SAC code; description; quantity; value; rate and amount of CGST, SGST/IGST; place of supply; signature.
• Copies: goods — original for recipient, duplicate for transporter, triplicate for supplier; services — original and duplicate.
• E-invoicing: mandatory for businesses with aggregate turnover above ₹5 crore — invoice reported to the Invoice Registration Portal (IRP), which returns an IRN and QR code.
• Bill of supply: for exempt supplies and by composition dealers — no tax charged.
• Credit note (Section 34): issued by the supplier when taxable value or tax is reduced (sales return, excess charged, deficiency). Debit note: when taxable value or tax is increased. Credit notes must be declared by 30 November of the following year.

• Kept at the principal place of business (and at each additional place): production or manufacture, inward and outward supplies, stock, ITC availed, output tax payable and paid, and other prescribed particulars.
• May be kept in electronic form; preserved for 72 months from the due date of the annual return for the year.
• Audit: by tax authorities (Section 65), special audit (Section 66); the earlier GST audit by CA (GSTR-9C) is now self-certified reconciliation for turnover above ₹5 crore.

E-way bill is an electronic document required for the movement of goods with value above ₹50,000 (inter-state; intra-state thresholds as notified by states) — generated on the e-way bill portal (ewaybillgst.gov.in).

• Not required: non-motorised conveyance, goods from port/airport to customs station, exempt goods (fresh vegetables, LPG for households, etc.), movement within notified areas.
• Who generates: registered supplier or recipient, or transporter if they do not.

• GSTR-2B: auto-drafted statement of ITC available (read-only); basis for claiming ITC.
• QRMP scheme: turnover up to ₹5 crore — quarterly returns with monthly payments (PMT-06).
• Late fee: ₹50 per day (₹20 for nil returns), capped; interest 18% p.a. on delayed tax.

Payment of tax (Section 49)

• Reverse charge tax, interest, penalty and late fees must be paid from the cash ledger.

Refunds (Section 54)

• Situations: export of goods or services (with or without payment of IGST), supplies to SEZ, inverted duty structure (input rate higher than output rate), excess balance in cash ledger, deemed exports, tax paid on supply not provided, UN bodies and embassies, finalisation of provisional assessment.
• Procedure: application in Form RFD-01 within 2 years from the relevant date; 90% provisional refund for zero-rated supplies within 7 days; order within 60 days; interest at 6% if delayed (9% after appellate orders).
• Export with payment of IGST — refund processed automatically through the shipping bill (ICEGATE).