GSTR-5A Returns: Non-Resident OIDAR Service Provider| Eligibility | Due Date

GSTR-5A

GSTR- 5A form is documentation that contains details of the goods or services provided to an unregistered person inside India through Online Information and Database Access or Retrieval (OIDAR) by any person who is situated outside India. For e.g., an individual person, unregistered under GST, access database of any company located in China. Then, such service providers are liable to pay GST on services rendered through GSTR-5A.

Basically, OIDAR service providers fill the GSTR-5A by logging into the GST portal to get returns. Here, we are going to let you know about every single detail of filing GSTR-5A returns. 

1. What is OIDAR Service?

OIDAR is a service that is provided by using the internet or any electronic network. Therefore, it requires minimum human intervention 

E.g.

  • 1. Advertisement on the internet
  • 2. Cloud-based service 
  • 3. Access to e-books, e-music, software, etc.

2. GST Regulations on OIDAR Service Providers

OIDAR service providers, who are located outside taxable territory, need to file the GSTR-5A return for catering services to unregistered or non-taxable customers in India. Rational behind including only unregistered/non-taxable service recipient is as follows:

2.1. A. Service recipient: Registered person

  • Registered persons or businesses receiving service from outside India are liable to pay GST under reverse charge under “Import of Service”.
  • Therefore, the government collected taxes on such services via the reverse charge mechanism system. 
  • Registered recipients are responsible to include such service in their turnover and are liable to pay GST on such amount under reverse charge mechanism as well as they need to file the returns accordingly. 

2.2. B. Service recipient: Non-Taxable or Unregistered individual, State, District officials

  • When an unregistered person receives such services, the service distributors are liable to pay GST to the government. Hence, the service provider should file the GSTR-5A return.

Note: OIDAR service providers located in the taxable territory are liable to pay GST on their services under forwarding charge and they need to file their return in form GSTR-3B and GSTR-1.

3. What is the Last Date of Filing the GSTR-5A?

GSTR-5A needs to be filed within the 20th of the month next to the tax period, and to which the return is related to or the date may have to get extended by the Commissioner. 

3.1. Details About Penalty In Case of Delaying in Filing the GSTR-5A

In case of any delay in filing the Form GSTR-5A, then there will be two late fees applicable-

  • Normal Return- Rs. 200 per day
  • NIL Return- Rs. 100 per day

Only the OIDAR service providers can file the GSTR-5A in the GST portal and they also need to be non-resident and rendering aids to unregistered dealers in India. Since, without a GSTIN, filing a  GSTR-5A will not be possible, the person needs PAN also.

4. Crucial Things to Keep in Mind For GSTR-5A Filing

The  OIDAR service providers need to keep the following points in mind:

  • A service provider cannot file GSTR-5A for the current tax period if he/she has not yet filed the return for the previous period.
  • Only after making full payments of taxes and other liabilities, one can file a GSTR-5A return.

An OIDAR services provider cannot claim for an ITC in GST-5A. So, no electronic credit ledger will be required to maintain for GSTR-5A. 

4.1. Details required for non-resident OIDAR service providers to file GSTR-5A

The taxpayers need to follow certain rules and regulations while filing GSTR-5A, such as-

  • All the OIDAR service providers, who are liable to file the GSTR-5A, need to file GSTR-5A  even if no business runs for a tax period. In these cases, any returning amount won’t be assigned to the provider. 
  • The OIDAR service providers can claim the returns only after making payment of due taxes and other due amounts.
  • The taxpayer needs to register as an OIDAR service provider and a GSTIN holder.
  • Having a valid user ID and password to the GST Portal account is also mandatory.
  • A valid PAN-based signature is also required to have for filing DSC.

4.2. Information to be furnished in the GSTR-5A Form

Table 1:

The taxpayers have to provide their GSTIN here

Table 2:

The registered person should fill this field with his/her legal name and trade name if there is any

Table 3:

Here, put the name of the authorized representative who is filing the return 

Table 4:

Mention the period in this field, i.e., Month and Year for which the return is claimed 

Basic information

Table 5:

Furnish the details of the taxable outward supplies that are made to customers in India; including place of supply, tax rate, taxable value, the integrated tax amount and cess

GSTR-5A taxable outward supplies

Table 5A:

Provide the details of the amendments to taxable outward supplies rendered to the non-taxable consumers of India for the preceding period.

Amendments to taxable outward supplies

Table 6:

Put the amount of calculation of interest, amount of penalty, and another amount which is payable

Calculation of interest

Table 7:

Taxpayers have to give the details of late fee, tax interest, and another amount which is payable or have already paid; in this field

Tax, interest, late fee

It is mandatory to file the GSTR-5A return within the due date for all the non-resident taxable persons providing OIDAR service. So, if you are one of them then make sure to provide the correct information regarding your income and expenses to avoid any tax-related issues in the future. If you have any doubt, get in touch with the experts.

Read more: Section 269SU Online Compliance on e-Filing Portal

DISCLAIMER: The views expressed are strictly of the author and VJM & Associates LLP. The contents of this article are solely for informational purpose. It does not constitute professional advice or recommendation of firm. Neither the author nor firm and its affiliates accepts any liabilities for any loss or damage of any kind arising out of any information in this article nor for any actions taken in reliance thereon.

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