Answer to Question #186300 in Economics for Satakshi Garg

Question

Mr Amman started the Café Coffee Any Day Venture a year back. As a GST taxpayer he needs to maintain three ledgers, as specified for the tax scheme. He also appreciates the facilities with regard to making payment of GST through various options, on the GST portal. Discuss your understanding about the concept of E-ledger. Also, discuss the various options available for payment of tax on the GST common portal

Answer 1

In accordance with the GST regime in force in some countries, all registered taxpayers are combined into one single platform in each individual country in order to comply with the laws on goods and services taxes. When registering on such a platform, administration is carried out centrally.

Each country that has a GST system has its own thresholds under which businesses with aggregate turnover in excess of a certain limit are required to register under the GST. In this case, we are talking about compulsory registration. Generally, small providers are not required to obtain a GST number. However, voluntary registration as a GST payer is always permitted and no thresholds are required.

The payment process for GST is basically the same for all GST taxpayers. If there is a sufficient balance of funds at the cash desk of the electronic cash register, then payment is not required. In other words, if there is not sufficient cash balance, then the taxpayer must use the challan to deposit money into the cash book using the prescribed payment methods. Here's an overview of the payment process for different categories or types of taxpayers.

The following GST payment methods are available on the GST Portal:

1. Online payments

Internet banking

Debit Card / Credit Card

2. Offline payments

OTC (check / demand draft / cash), also known as OTC

National Electronic Funds Transfer / Real-Time Gross Settlement, commonly known as OIL or RTGS