The Quarterly Return Monthly Payment (QRMP) scheme was introduced on 1st January 2021 for small taxpayers in India under the Goods and Services Tax (GST) laws. Small taxpayers are taxpayers with a turnover of up to Rs.5 crore in a financial year. Under this scheme, taxpayers need to file only one GSTR-1 and GSTR-3B return per quarter, leading to eight GST returns instead of 24 per year.
An Invoice Furnishing Facility (IFF) has been introduced for taxpayers under the QRMP scheme to furnish their sales invoices on a monthly basis, thereby allowing their buyers to claim an input tax credit (ITC). For the first two months of the quarter, the taxpayers can upload invoices using the IFF, and for the last month of the quarter, they can upload invoices directly in the GSTR-1 return.
Also Read: Tax Payment Options Under QRMP Scheme
It is to be noted that IFF is an optional facility with a cutoff date, i.e., the 13th of the following month. Invoices that have not been filed before the cutoff date may not be filed for that month. Recently, the Goods and Services Tax Network (GSTN) has released an advisory for QRMP scheme taxpayers stating that invoices saved in the IFF format but not filed for the first two months of the quarter must be deleted before filing the GSTR-1 return for that quarter. The deletion can be done using the ‘Reset’ button available in the IFF.
The records, once deleted, should be added directly in the GSTR-1 return for the quarter of January to March 2021. In the future, this process may not be necessary as the invoices that have already been saved in the first or second month of the quarter may either be deleted or moved to GSTR-1 through an inbuilt functionality that could be introduced shortly according to the GSTN release.
The release also stated that any invoices that have been submitted but not yet filed need to be filed before filing the GSTR-1 for the January to March 2021 quarter.
For any clarifications/feedback on the topic, please contact the writer at athena.rebello@cleartax.in.
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