All You Need To Know About QRMP Scheme | Ebizfiling

   Introduction 

 

Taxpayers with an annual turnover of less than INR 5 crore will not be mandated to submit GSTR-1 and GSTR-3B forms on a monthly basis as agreed in the 42nd GST Council meeting. They will now conduct it on a quarterly basis. Further, on December 5, 2020, the Modi Government finally announced the commencement of the same under the name QRMP Scheme. In this article, we'll talk about the QRMP Scheme, who is eligible to file, and how to file GST returns using Forms GSTR 3B and GSTR 1 under the QRMP Scheme.




 

 What is QRMP Scheme? 

 

QRMP scheme stands for Quarterly Return filing & Monthly Payment of Taxes. Taxpayers can make monthly GST payments by challan under the QRMP Scheme.

The two options for making GST return payments are self-assessment of monthly liabilities and 35% of the net cash liability of previously filed GSTR-3B of the quarter.

 

 Who is eligible for QRMP Scheme?  

 

A registered person who must submit a return in GSTR-3B and who had an aggregate turnover of up to INR 5 crore the previous financial year is eligible for the QRMP Scheme. It is clarified that the aggregate annual turnover for the previous financial year shall be determined on the common portal using the information provided by the taxpayer for the tax period in the previous financial year.

 

Benefits of the QRMP Scheme

 

  • The burden of compliance on the taxpayer has decreased significantly.

 

  • Instead of filing 12 GSTR-3B forms annually, taxpayers just need to submit 4 GSTR-3B returns.

 

  • Since this scheme offers an invoice filing facility (IFF), taxpayers would only need to submit GSTR-1 returns 4 times.  

 

  • Since this scheme offers an invoice filing facility (IFF), taxpayers would only need to submit GSTR-1 returns 4 times. The remaining invoice information can be included in the GSTR-1 quarterly report.

 

  • In the first two months of a quarter, conveniently pay monthly taxes using the Fixed Sum Method (pre-filled Challan) or the Self-Assessment Method (actual tax owed after adjusting ITC).

 

 How to opt for the QRMP scheme?  

 

The Scheme will be available on the common site of GST throughout the year. Go to www.gst.gov.in > Login > Services > returns> Opt-in for quarterly return. You can file GST return online even after opting for QRMP scheme.

 

An individual who has registered may choose to opt-in for any quarter between the first day of the second month of the previous quarter and the final day of the first month of the current quarter.

 

It is not necessary to choose the scheme separately for each quarter. The Scheme would be valid for upcoming tax periods once it was activated.

 

 Furnish the details of outward supplies with IFF 

 

The details of an outward supply must be provided in Form GSTR-1 by the registered persons choosing the Scheme once every three months. However, the supplier has the choice to provide the information on a monthly basis. The Invoice Furnishing facility ('IFF'), which is optional, has been established to provide data on invoices of supply made to registered persons during the first two months of the quarter.

 

It should be noted that the taxpayer is only permitted to upload a total of Rs.50 lakhs worth of invoices in each of the two quarter-long months. The invoices can be uploaded in IFF either all at once or continuously between the first day of the month and the 13th day of the following month.

The details uploaded in the IFF will be reflected in Form GSTR-2A and Form GSTR-2B of the interested recipient.

 

 Monthly tax payment under the QRMP scheme 

 

The registered person under the QRMP Scheme would have to deposit the requisite amount on Form GST PMT-06 in order to pay the tax due in each of the first two months of the quarter. The payment should be made by the 25th day of the next month. The money deposited by the registered taxpayer in the first two months will be deducted solely to balance the liability reported in Form GSTR-3B for that quarter.

 

On the portal, a tool would be made available for creating a pre-filled challan in Form GST PMT-06. The registered taxpayer has two methods listed below for making tax payments each month for the first two months:

 

  1. Fixed sum method: Under this method, if the last return is submitted on a quarterly basis, an amount equal to 35% of the tax liability paid for the previous quarter must be paid.  If the last GST return filing is on a monthly basis, the tax liability for the previous month that was paid in the return must be paid. As long as the tax is paid by the due date, there won't be any interest payable. No late fees would be charged for the delay in payment of tax if you use Form PMT-06 to pay your taxes.

 

  1. Self-assessment method: In any case, the registered taxpayer can pay the tax due by using Form GST PMT-06 to calculate the tax liability of both inward and outward supplies as well as the available Input Tax Credit. Interest would be applicable to the taxpayer under this method.

 

 Due date of quarterly filing of Form GST-3B 

 

 

Sr. No.

GST Registration in States and Union Territories

Due Date

1

Chhattisgarh, Madhya Pradesh, Gujarat, Dadra and Nagar Haveli, Daman and Diu, Maharashtra, Karnataka, Goa, Lakshadweep, Kerala, Tamil Nadu, Puducherry, Andaman and Nicobar Islands, Telangana and Andhra Pradesh

22nd of the month succeeding such quarter.

2

Jammu and Kashmir, Ladakh, Himachal Pradesh, Punjab, Chandigarh, Uttarakhand, Haryana, Delhi, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Mizoram, Manipur, Tripura, Meghalaya, Assam, West Bengal, Jharkhand and Odisha

24th of the month succeeding such quarter.

 

 

 Late fees applicable under the QRMP scheme  

 

The late fee for furnishing the details of the GST return or details of outward supply is specified under the provisions of the CGST Act, 2017. The fees would be applicable on the basis of the delay in furnishing the details. However, no late fee is applicable for the delay in payment of tax in the first two months of the quarter in form PMT-06.

 

 

 

 

 

 

 

 

 

 

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