What is GSTR 5 & How to file GSTR-5?

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GSTR-5 is a return available to file for all non-resident taxpayers working in India, in the case, they do not want to avail ITC on local input supplies of Goods and services.

Non- Resident Taxpayers need to file Form GSTR-5 return for the period for which they have obtained registration within a period of seven days after the date of the expiry of registration.

In case, the registration period is for more than one month, a monthly return would be filed by 20th of the month succeeding the tax period and thereafter return for the remaining period would be filed within a period of seven days.

As per the GST portal, Form GSTR-5 is a return to be filed by all Non- Resident Taxpayers in case they don’t wish to avail ITC (Input Tax Credit) on local procurements. In case, the non-resident person wishes to avail ITC on local procurement, it will be required to register as a normal taxpayer and file Form GSTR-1/ 3B as a normal/casual taxpayer.

How to file the GSTR-5 return?

A non-resident taxpayer can file the GSTR-5 return on GST Portal with the help of these following steps-

Login and Navigate to GSTR-5 page on Portal

  • First of all, Access the GST Portal or www.gst.gov.in URL. The GST Home page will display.
  • Then Log in to the GST Portal with valid credentials.
  • After that, Click the Services > Returns > Returns Dashboard command.
  • Alternatively, you can also click the Returns Dashboard link on the Dashboard.
  • Now the Files Returns page will display. Select the Financial Year & Return Filing Period (Quarter) for which you want to file the return from the drop-down list.
  • Then click the SEARCH button.
  • Now the Files Returns page will display. In the GSTR-5 tile, click the PREPARE ONLINE button if you want to prepare the return by making online entries on the GST Portal.

Generate GSTR5 Summary

  • Now Scroll down to the bottom of the GSTR-5 – Return for Non-resident taxable person page and click the GENERATE GSTR5 SUMMARY button. 
  • The Details of auto drafted supplies of goods or services page will display.
  • Because the user needs to explicitly click on the GENERATE GSTR5 SUMMARY button at the bottom of the page, then the only auto-drafted invoices will show.
  • And a confirmation message will display at the top of the page. You can check the status in a few minutes.

Enter the required details in various tiles

  • 3 – Import of Goods – To add details of inputs/ capital goods received from overseas
  • 5 – Outward Supplies Made – To add details of taxable outward supplies made to registered persons (including UIN holders)
  • 6 – B2CL (Large) Invoices – To add details for taxable outwards supplies to a consumer, where the place of supply is other than the State where the supplier is located (Inter-State supplies) and invoice value is more than Rs. 2.5 lakh
  • 7A,7B – B2C (Small) – To add details of taxable supplies to unregistered persons other than supplies mentioned in Table 6
  • 8B – Credit/Debit Notes – To add details of credit/ debit notes
  • 8B – Unregistered Credit/Debit Notes – To add details of credit/ debit notes for B2C large details
  • 4 – Amended Import of Goods – To add details of amendments to import of goods
  • 8A – Amended Outward Supplies – To add details of amendments to outward supplies to registered persons (including UIN holders)
  • 8A – Amended B2C (Large Invoices) – To add details of amendments to outward inter-state supplies to unregistered persons
  • 9 – Amended B2C (Small) – To add details of amendments to outward supplies to unregistered persons
  • 8C – Amended Credit/Debit Notes – To add details of amendments to Credit/Debit Notes for supplies to registered persons
  • 8C – Amended Unregistered Credit/Debit Notes – To add details of amendments to Credit/Debit Notes for supplies to unregistered persons

Preview GSTR-5

  • Once you have entered all the details, click the PREVIEW button.
  • And this button will download the draft Summary page of your GSTR-5 for your review.
  • Further, the taxpayer is recommended to download this Summary page and review the summary of entries made in different sections with patience before submitting GSTR-5 and the PDF file generated would bear the watermark of the draft.
  • Keep in mind, The submit button will freeze the invoices uploaded in the GSTR-5 for that particular month.
  • After that, just click the 10A, 10B – Tax Liability tile to view the tax liability details.
  • And tax Liability details will display. Click the BACK button to go back to the previous page.

Acknowledge and Submit GSTR-5 to freeze data

  • Now select the acknowledgment check-box stating that you have reviewed the details of preview and the information furnished is correct, and you are aware that no changes can be made after submitting.
  • Once you click the acknowledgment, the SUBMIT button will be enabled.
  • Then click the SUBMIT button on the landing page to submit GSTR-5.
  • Note: The submit button will freeze the invoices uploaded in GSTR-5 for that particular month. You will be not able to upload any further invoices for that month.
  • Click the PROCEED button to accept the Warning message.
  • Click the PROCEED button again to accept the message that says you are about to submit GSTR-5 and asks whether you would like to proceed, suggesting that no changes can be made to this return after submitting.
  • A success message will display at the top of the page. Once you submit the data, data will freeze and you cannot change any fields.
  • Then refresh the page.
  • After that, Status of GSTR-5 changes to Submitted after the submission of GSTR-5.
  • Then click the PREVIEW button again, to download the submitted GSTR-5 in PDF format.
  • The PDF file generated would now bear the watermark of the final Form GSTR-5.

Payment of tax

  • Click the Payment of Tax tile.
  • Then click the CHECK LEDGER BALANCE button to view the balance available for credit under Integrated Tax, Central Tax, State/UT Tax, and Cess. The functionality enables the taxpayers to check the balance before making the payment for the respective minor heads.
  • After that, the Check Ledger Balance page will display. The page lists the minor head wise balance available as in cash ledger and major head wise credit available in Electronic Credit Ledger. Click the OK button to go back to the previous page
  • Please provide the amount of credit to be utilized from the respective available credit heads to pay off the liabilities, so as the cash.
  • And if there is no / less balance in Electronic Cash Ledger, create Challan make payment to update the balance in Electronic Cash Ledger. Click here to refer to the FAQs and User Manual on Making Payment.
  • While providing the inputs please ensure the utilization principles for credit have well adhered otherwise the system won’t allow for the offset of liability.
  • Then click the OFFSET LIABILITY button to pay off the liabilities.
  • The tax liability will offset and a confirmation message will display. Click the OK button.
  • Then click the 11, 12, 14 – Tax Payable and Paid tile.
  • After making payment of tax, the amount of tax paid will be auto-populated in Table 11 along with the debit entry numbers generated on the utilization of Cash balances and ITC. Click the BACK button to go back to the previous page.
  • Click the FILE RETURN button.
  • Then the Returns Filing for GST GSTR5 page will display. Select the Declaration checkbox.
  • The Authorised Signatory drop-down will appear. Select the authorized signatory from the list.

File GSTR-5 with DSC/ EVC

  • Now the return will have to verify then click the FILE WITH DSC or FILE WITH EVC button to file the FORM GSTR-5.
  • If filing with DSC
  • Then click the PROCEED button.
  • and select the certificate and click the SIGN button.
  • If filing with EVC
  • Then enter the OTP sent on the e-mail and mobile phone number of the Authorized Signatory registered at the GST Portal, and click the VERIFY button.
  • Then the success message will display. Refresh the page.
  • Notes: The status of GSTR-5 changes to Filed.
  • On filing GSTR-5, notification along with the generated ARN is sent to the Authorized Signatory through e-mail and SMS.
  • Then click the BACK button.

View GSTR-5 Status

  • After filing, On the File Returns page, select the Financial Year and Return Filing Period (Month) for which you have just filed Form GSTR-5.
  • Click the SEARCH button.
  • Status of the GSTR-5 return changes to “Filed“.

What happens after GSTR-5 is filed?

After filing the Form GSTR-5

  • ARN is generated on the successful filing of the Form GSTR-5 Return.
  • An SMS and an email are sent to the taxpayer on his registered mobile and email id
  • Once the return is filed after affixing DSC or EVC as the case may be, the Form is passed on to:

1. The CBIC (Central Board of Indirect Taxes and Customs – the central tax authority) and the Model-1 States.

2. The tax authority of jurisdictional State or UT

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