Rule 56 of CGST Rules -Maintenance of accounts by registered persons

Rule 56 of CGST Rules -Maintenance of accounts by registered persons

(updated as on 15.11.2017)

(1) Every registered person shall keepand maintain, in addition to the particulars mentioned in sub-section (1) of section 35, a trueand correct account of the goods or services imported or exported or of supplies attractingpayment of tax on reverse charge along with the relevant documents, including invoices,bills of supply, delivery challans, credit notes, debit notes, receipt vouchers, payment vouchers and refund vouchers. (2) Every registered person, other than a person paying tax under section 10, shall maintainthe accounts of stock in respect of goods received and supplied by him, and such accountsshall contain particulars of the opening balance, receipt, supply, goods lost, stolen,destroyed, written off or disposed of by way of gift or free sample and the balance of stockincluding raw materials, finished goods, scrap and wastage thereof. (3) Every registered person shall keep and maintain a separate account of advances received,paid and adjustments made thereto. (4) Every registered person, other than a person paying tax under section 10, shall keep andmaintain an account, containing the details of tax payable (including tax payable inaccordance with the provisions of sub-section (3) and sub-section (4) of section 9), taxcollected and paid, input tax, input tax credit claimed, together with a register of tax invoice,credit notes, debit notes, delivery challan issued or received during any tax period. (5) Every registered person shall keep the particulars of -

(a) names and complete addresses of suppliers from whom he has received the goods orservices chargeable to tax under the Act;

(b) names and complete addresses of the persons to whom he has supplied goods orservices, where required under the provisions of this Chapter;

(c) the complete address of the premises where goods are stored by him, includinggoods stored during transit along with the particulars of the stock stored therein.

(6) If any taxable goods are found to be stored at any place(s) other than those declaredunder sub-rule (5) without the cover of any valid documents, the proper officer shalldetermine the amount of tax payable on such goods as if such goods have been supplied bythe registered person. (7) Every registered person shall keep the books of account at the principal place of businessand books of account relating to additional place of business mentioned in his certificate ofregistration and such books of account shall include any electronic form of data stored onany electronic device. (8) Any entry in registers, accounts and documents shall not be erased, effaced oroverwritten, and all incorrect entries, otherwise than those of clerical nature, shall be scoredout under attestation and thereafter, the correct entry shall be recorded and where theregisters and other documents are maintained electronically, a log of every entry edited ordeleted shall be maintained. (9) Each volume of books of account maintained manually by the registered person shall beserially numbered. (10) Unless proved otherwise, if any documents, registers, or any books of accountbelonging to a registered person are found at any premises other than those mentioned in thecertificate of registration, they shall be presumed to be maintained by the said registeredperson. (11) Every agent referred to in clause (5) of section 2 shall maintain accounts depicting the,-

(a) particulars of authorisation received by him from each principal to receive orsupply goods or services on behalf of such principal separately;

(b) particulars including description, value and quantity (wherever applicable) of goodsor services received on behalf of every principal;

(c) particulars including description, value and quantity (wherever applicable) of goodsor services supplied on behalf of every principal;

(d) details of accounts furnished to every principal; and

(e) tax paid on receipts or on supply of goods or services effected on behalf of everyprincipal.

(12) Every registered person manufacturing goods shall maintain monthly productionaccounts showing quantitative details of raw materials or services used in the manufactureand quantitative details of the goods so manufactured including the waste and by productsthereof. (13) Every registered person supplying services shall maintain the accounts showingquantitative details of goods used in the provision of services, details of input servicesutilised and the services supplied. (14) Every registered person executing works contract shall keep separate accounts forworks contract showing -

(a) the names and addresses of the persons on whose behalf the works contract isexecuted;

(b) description, value and quantity (wherever applicable) of goods or services receivedfor the execution of works contract;

(c) description, value and quantity (wherever applicable) of goods or services utilized inthe execution of works contract;

(d) the details of payment received in respect of each works contract; and

(e) the names and addresses of suppliers from whom he received goods or services.

(15) The records under the provisions of this Chapter may be maintained in electronic formand the record so maintained shall be authenticated by means of a digital signature. (16) Accounts maintained by the registered person together with all the invoices, bills ofsupply, credit and debit notes, and delivery challans relating to stocks, deliveries, inwardsupply and outward supply shall be preserved for the period as provided in section 36 andshall, where such accounts and documents are maintained manually, be kept at every relatedplace of business mentioned in the certificate of registration and shall be accessible at everyrelated place of business where such accounts and documents are maintained digitally. (17) Any person having custody over the goods in the capacity of a carrier or a clearing andforwarding agent for delivery or dispatch thereof to a recipient on behalf of any registeredperson shall maintain true and correct records in respect of such goods handled by him onbehalf of such registered person and shall produce the details thereof as and when requiredby the proper officer. (18) Every registered person shall, on demand, produce the books of accounts which he isrequired to maintain under any law for the time being in force.

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CHAPTER VII

ACCOUNTS AND RECORDS

Chapter VIIof CGST Rules, 2017 consists of three rules relating to ACCOUNTS & RECORDS RULES under the GST regime. All this rules are available for your ready reference. Rule 56 :Maintenance of accounts by registered persons Rule 57 :Generation and maintenance of electronic records Rule 58 :Records to be maintained by owner or operator of godown or warehouse &transporters

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