Section 35 of the CGST Act read along with GST Accounts and Records rules provides that every registered person shall keep and maintain all records at his respective place of business. In simple terms, it is the responsibility of an owner, operator of a warehouse or godown or any other place used for storage to maintain specific records.
Different Accounts And Records To Be Maintained Under GST
A registered person’s account will be audited by a Chartered Accountant only if his/her turnover during the financial year exceeds the prescribed limit.
|Accounts of goods produced||Accounts should have details of goods manufactured in a factory or production house.||All assessee|
|Purchase register||Should maintain details about all purchases made within a period of manufactured goods/provision of services.||All assessee|
|Sales Register||Must have details of all sales made within a tax period.||All assessee|
|Stock Register||Account must contain a correct stock of inventory available.||All assessee|
|Input tax credit||Should maintain the details of Input Tax Credit availed for a given tax period.||All assessee|
|Output tax liability||Should maintain details of GST liability outstanding to be adjusted against input credit.||All assessee|
|Output tax paid||Should maintain details of GST paid for a particular tax period.||All assessee|
A taxpayer must maintain important documents like
- bills of supply
- delivery challans
- credit notes
- Voucher receipts
- payment vouchers
- refund voucher; and
- e-way bills
What Is The Place And Duration Of Retaining Records?
The duration of retaining accounts/ records will be for 6 years (72 months). A taxpayer must maintain an account of goods and services at the principal place of business. If there are multiple places of a business specified in the registered GST, then the accounts and records must be kept at all the related business places.
Electronic Maintenance Of Records
A taxpayer is also entitled to maintain an electronic form of his/her records. The electronically maintained records shall be authenticated through his/her digital signature. All taxpayers must submit the records whenever required. The taxpayer must produce authenticated hard copy of records and documents whenever demanded by the accounting department. After the submission for electronic recording, the taxpayer must also maintain a backup of electronic records, in case of any problem.
How To Rectify Incorrect Entries In Accounts?
In case of an incorrect entry in documents, accounts and records, changes should be verified and then re-corrected. If accounts are maintained electronically, a taxpayer shall maintain a log of every entry edited or deleted electronically.
Under GST, a taxpayer is required to maintain documents, account, and records related to manufacturing, trading or provision of service. This will help ensure clarity in tax payments and ads toward building a safe and useful database in case of emergencies.
How To Avail GST?
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