FORM PMT 09 made available on GST Portal

FORM GST PMT 09, to transfer/shift the money available in Electronic Cash ledger, between various major and minor heads of GST has been made available on GST portal. This is a very very useful form for GST payers since earlier the GST paid under one head or even minor head was not available to be transferred to another major head/ minor head.

For example, sometimes a GST tax payer may have to pay late fees for late filing of returns but, by error, he may pay the amount under penalty but its of no use practically since the GST portal will not recognise the late fees at all. So the tax-payer would have to pay it again. In fact, this is what had happened all along and then he would have to claim refund from the GST department which is a tedious process again.

Now, in the above example, the tax payer can simply reclassify the amount paid under the head ‘ penalty’ to ‘late fees’ . This helps in cash flows. Also , if there is amount lying under a particular head ‘IGST’ for some reason and liability arises under CGST, now, the cash credit can be used in same manner by re-classifying the same.

No doubt, GST authorities, could have simplified the entire thing by allowing the tax-payers to make one common payment and then classifying the same under different heads and so tax payers would not have suffered so much. But still this much awaited form can now relieve some of the troubles faced by tax-payers.

Article by CA Bhavesh Savla