The CBIC vide Notification No. 37/2020-Central Tax has appointed the 21st day of April, 2020, as the date from which Rule 87(13) of the CGST Rules, 2017 ,which states that a registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under the Act to the electronic cash ledger for integrated tax, central tax, State tax or Union territory tax or cess in FORM GST PMT-09, & FORM GST PMT –09 shall come into force.
Notification No. 37/2020-Central Tax dated 28th April 2020
Procedure to file Form GST PMT-09
To file Form GST PMT-09 taxpayers are required to login on GST portal and navigate to Services > Ledgers > Electronic Cash Ledger > File GST PMT-09 For Transfer of Amount option. After Form GST PMT-09 is filed:
- ARN is generated on successful filing of Form GST PMT-09.
- An SMS and an email is sent to the taxpayer on his registered mobile and email id.
- Electronic Cash ledger will get updated after successful filing of Form GST PMT-09.
- Filed form GST PMT-09 will be available for view/download in PDF format.
After availability of FORM GST PMT-09:
Form GST PMT-09 enables a registered taxpayer to transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under the Act to the electronic cash ledger for integrated tax, central tax, State tax or Union territory tax or cess.
- Form GST PMT-09 can be use by all taxpayers registered under GST and they are eligible to inter transfer any balances available in the electronic cash ledger.
- Major head include- IGST, CGST, SGCT, UTGST and Cess.
- Minor head include- Tax, Interest, Penalty, Fee and Others.
- If the wrong tax has already been utilized for making any payment, then this challan is not useful. This challan only allows shifting of the amounts that are available in the electronic cash ledger.
For instance, in case an amount has been misreported in the GSTR-3B, there is no way to rectify the same as the GSTR-3B is non-editable. In such case, only and adjustment in the next month’s return can be made
- The amount once utilized and removed from cash ledger cannot be reallocated.
Before availability of Form PMT-09:
- Most of the taxpayers at the time of making the GST Challan Payment have done mistakes by filling the amounts in the Wrong head.
Like taxpayer who wanted to file the amount in IGST head have wrongly paid tax under the CGST head or vice versa and there can be a lot of cases irrespective of the heads like the CGST head, SGST head, IGST head, CESS Head.
- It can’t be used against discharging the liabilities of that head due to which the taxpayers need to file another challan.
- Wrong challan amount remains in their cash ledger for utilizing the same in discharging their output liabilities or they can claim the refund.
- Since the refund process takes time around 2-3 months due to which the working capital of the taxpayers gets blocked.
Extract from Finance Act 2020:
In section 49 of the Central Goods and Services Tax Act, after sub-section (9), the following sub-sections shall be inserted, namely: —
(10) A registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under this Act, to the electronic cash ledger for integrated tax, central tax, State tax, Union territory tax or cess, in such form and manner and subject to such conditions and restrictions as may be prescribed and such transfer shall be deemed to be a refund from the electronic cash ledger under this Act.
(11) Where any amount has been transferred to the electronic cash ledger under this Act, the same shall be deemed to be deposited in the said ledger as provided in sub-section (1).”.
Notification No. 01/2020-Central Tax dated 01st January 2020
Notification No. 31/2019-Central Tax dated 28th June 2019