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The Quarterly Return filing and Monthly Payment of taxes (QRMP) scheme came into force on January 1, 2021, under GST. It is expected to simplify the compliance process for small taxpayers with an annual aggregate turnover of up to Rs 5 crore in the preceding financial year. The highlight of the scheme is the shift in the filing of GSTR-3B from a monthly to quarterly cycle. The scheme’s flexibility and reduction in the number of returns to be filed per annum are laudable.
Comparison of tax payments before and under the QRMP scheme
The previous system that allowed quarterly GSTR-1 and monthly GSTR-3B involved tax payments to be made along with filing of GSTR-3B. Hence, small taxpayers had to pay taxes monthly at the time of filing GSTR-3B. The current system of the QRMP scheme also offers monthly tax payments. To some extent, it does not serve the purpose of the intended simplification. Taxpayers will have to continue to work out their monthly tax liability by collating monthly
On Wednesday, Dec. 23, the City of Kansas City, Mo. notified taxpayers of tax-related changes that begin January 1, 2021.
“We want Kansas City, Missouri, taxpayers to be ready to make the necessary adjustments,” according to the press release.
Here are the new requirements that will affect taxpayers and businesses for the upcoming tax year:
All withholding returns must be filed electronically. If you don’t file electronically, you may be penalized. Included in this requirement are the Employer’s Quarterly Return of Earnings Withheld (Form RD-110), the Employer’s Annual Reconciliation of Earnings Tax Withheld (Form RD-113), and submission of W2 records.
GST taxpayers to get flexibility to decide on monthly tax payment
IANSDec 13, 2020, 15:52 IST
PIXABAY
GST taxpayers would be able to pay their
tax dues on a self-assessment basis without having to go through the cumbersome process of filing tax returns on a monthly basis.
The Central Board of Indirect Taxes and Customs (CBIC) will introduce the
new Quarterly Return and Monthly Payment Scheme (QRMP) for GST taxpayers from next year that will allow taxpayers to file only 4 GSTR-3B returns in a year instead of 12 returns at present. As per the scheme, while returns through form GSTR-3B will be filed only quarterly and not monthly as at present, taxpayers would be lower to pay taxes dues on a monthly basis based on a self-assessment method.