GSTR-4 is the annual return that composition scheme taxpayers must file at the end of each financial year. It consolidates all quarterly CMP-08 filings into a single comprehensive statement of turnover and tax paid.
This comprehensive guide covers everything you need to know about GSTR-4, including applicability, due date, filing process, and compliance requirements.
What Is GSTR-4?
GSTR-4 is the annual GST return prescribed for taxpayers registered under the composition scheme. It acts as a consolidated statement that summarises all quarterly CMP-08 filings into one annual return.
Who Must File GSTR-4?
GSTR-4 must be filed by all taxpayers registered under the composition scheme. This includes:
- Traders and manufacturers dealing in goods with an aggregate annual turnover up to ā¹1.5 crore
- Service providers who have opted for the special composition scheme under CGST (Rate) Notification No. 2/2019, with a turnover limit of ā¹50 lakh
Critical Rule: If you were under the composition scheme for even one day during the year, you must file GSTR-4 for that period.
GSTR-4 vs GSTR-9
| Aspect | GSTR-4 | GSTR-9 |
|---|---|---|
| For | Composition taxpayers | Regular taxpayers |
| Frequency | Annual | Annual |
| Content | Consolidated quarterly statements | Consolidated monthly returns |
GSTR-4 Format and Structure
GSTR-4 contains the following details:
- Consolidated turnover for the year
- Consolidated tax paid during the year
- Details of inward supplies attracting reverse charge
- Details of imports
- Late fees and interest (if applicable)
Due Date for GSTR-4
GSTR-4 must be filed by 30th April of the following financial year (or any extended date notified by the government).
GSTR-4 Filing Process
Step 1: Prepare Data
- Compile data from all quarterly CMP-08 filings
- Reconcile with books of accounts
- Calculate total turnover for the year
- Calculate total tax paid
Step 2: Log in to GST Portal
- Visit www.gst.gov.in
- Navigate to Services > Returns > Returns Dashboard
Step 3: Select GSTR-4
- Select the financial year
- Click on "Prepare Online"
Step 4: Fill Details
- Enter consolidated turnover details
- Enter consolidated tax paid details
- Enter details of RCM supplies
Step 5: Preview and Validate
- Preview the return
- Check for errors and warnings
Step 6: Submit
- File using DSC or EVC
GSTR-4 Filing Checklist
- All quarterly CMP-08 filings are completed
- Turnover for the year is correctly calculated
- Tax paid during the year is correctly calculated
- RCM supplies are correctly reported
- Books of accounts are reconciled with returns
- Preview and validate before submission
Common GSTR-4 Errors to Avoid
1. Not Filing GSTR-4
GSTR-4 must be filed annually, even if there was no business activity.
2. Incorrect Turnover Reporting
Ensure total turnover for the year is correctly calculated.
3. Mismatch with CMP-08
GSTR-4 must reconcile with all quarterly CMP-08 filings.
4. Not Reporting RCM Supplies
Inward supplies attracting reverse charge must be reported.
5. Missing the Due Date
Late filing attracts penalties and interest.
Need assistance with GSTR-4 annual return filing for your composition scheme business? Our expert team ensures accurate and timely filing.
Contact Anuj Desai & Associates: š§ Email: office@anujdesaiassociates.com š Phone: 9619456656 š Website: https://anujdesaiassociates.com š LinkedIn: linkedin.com/in/ca-anuj-desai-122547230