GST Filing for Non-Resident Taxpayers: A Comprehensive Guide

Posted In | Finance | Accounting Software | India Accounting Tax

Understanding tax obligations can be a complex affair, especially for non-resident taxpayers. The introduction of the Goods and Services Tax (GST) in India has further complicated the process. This guide aims to simplify the GST filing process for non-resident taxpayers.
 

Who is a Non-Resident Taxpayer?

A non-resident taxpayer refers to any foreign individual or business entity that occasionally undertakes transactions involving goods or services in India but does not have a fixed place of business or residence in the country. These taxpayers must file GST returns in India.
 

Registration for GST

Any non-resident taxable person must register for GST. This registration can be done online via the GST Portal. It's important to note that the registration must be done at least five days before the commencement of business in India. The individual or entity is required to make an advance deposit of the estimated tax liability for the period of the proposed business activity.
 

Filing of GST Returns

Non-resident taxpayers are required to file monthly GST returns using Form GSTR-5 through the GST portal. The due date for filing this return is within 20 days from the end of a tax month, or if registration is surrendered, then within seven days of such surrender, whichever is earlier.
 

Documents Required for GST Filing

The following documents are typically required to file GST returns:
 

• Business details (Name, address, and GSTIN)
• Invoice-wise details of imports
• Invoice-wise details of outward supplies
• Details of interest or penalties payable
   

Refund of GST

After the return is filed, the non-resident taxpayer can apply for a refund of any excess amount from the estimated advance tax deposited at the time of registration. This refund can be claimed through the final return filed in Form GSTR-5.

 

The process of GST filing for non-resident taxpayers can seem daunting initially. However, with a clear understanding of the process and adherence to the stipulated timelines, it can be quite straightforward. If needed, professional help from tax consultants can also be sought to make the process smoother.