CBIC evaluates Income Tax Like pre-filled consolidated GST Return Forms

The Government is developing pre-filled consolidated GST return forms in the lines of the Income Tax Department’s Annual Information Statement (AIS), which would allow taxpayers to access all of their transaction details and e-invoices to determine their precise tax due.

The Central Board of Indirect Taxes and Customs (CBIC) is preparing a consolidated pre-filled form that will include an e-verification capability to resolve any differences in data prior to filing the return, minimising the extent of any error.

According to authorities, the service, which is slated to be available by the end of this year, would minimise litigation, increase compliance, and make it easier to file GST returns without the effort of uploading so many papers.

“Automation in filing is already taking place, and we expect to launch a consolidated AIS-like feature for GST taxpayers by November,” a senior official said.

A standard firm must currently file three returns – GSTR-1 and GSTR-3B on a monthly and quarterly basis, depending on their turnover, and an annual GSTR-9 form. While some forms already contain pre-filled data, it is not synced, and taxpayers must match all facts related to purchases, sales, refund claims, or requests made independently in order to obtain input tax credit.

According to the official, the facility is projected to save the time and cost of e-filing by 60%.

Enhanced Automation

The department has already focused on acquiring more data from taxpayers in the previous six months by decreasing the threshold of E-Invoices, synchronising their financial data from banks and NBFCs, automated inspection, and data sharing from the income tax department.

GSTN is expected to be merged with the country’s ambitious financial data exchange network, Account Aggregator, by July 1.