Two important GST Compliance deadlines coming up in India

Starting October 31, 2024, taxpayers need to be aware of two important GST compliance deadlines:

1. RCM Liability/ITC Statement: Taxpayers must declare their opening balance in the Reverse Charge Mechanism (RCM) Liability/ITC Statement. This tool improves the accuracy of RCM transactions by aligning reported liabilities with corresponding input tax credits (ITC).

• For Monthly Filers: The statement is applicable from August 2024,
• For Quarterly Filers: It applies to the July-September 2024 quarter.
• Deadline: Declare by October 31, 2024. Any errors can be amended until November 30, 2024.

2. ITC Reversal Ledger: The government has also introduced an ITC Reversal/Reclaimed Statement to help accurately report ITC reversals.

• For Monthly Filers: Report the opening balance up to July 2023.
• For Quarterly Filers: Reflect the balance through Q1 of FY 2023-24 (April-June 2023),
• Period for Reporting: October 15 to October 31, 2024. Amendments can be made until November 30, 2024.

Taxpayers are encouraged to complete these declarations promptly to ensure compliance and avoid penalties.