Electronic Liability Register

[Mr. M. GOVINDARAJAN]

Electronic ledgers

There are three electronic registers available in GST portal viz., Electronic Liability Register, Electronic Credit Ledger and Electronic Cash Ledger. The Electronic Liability Register is meant for recording the liability of the registered person. The Electronic Credit Ledger and Electronic Cash Ledger are meant for crediting the input tax and cash payment respectively. These two ledgers are used to make payment of tax, late fee, interest, fine etc.

Debit in Liability Register

 Electronic Liability Register is to be maintained in Form GST PMT – 01 on the common portal. The Electronic Liability Register shall be debited by-

• the amount payable for tax, late fee, interest, penalty etc., as per the return filed by the Registered person;
• the amount of tax, interest, penalty etc., as decided by the proper officers in the course of proceedings;
• any interest that may be accrued from time to time.

Credit in Liability Register

 The payment of every liability by a registered person as per his return shall be made by debiting the electronic credit ledger or the electronic cash ledger maintained and the electronic liability register shall be credited accordingly.

 The amount-

• deducted under section 51; or
•  the amount collected under section 52; or
•  the amount payable on reverse charge basis; or
•  the amount payable under Composition Scheme,
• any amount payable towards interest, penalty, fee or any other amount under the Act

shall be paid by debiting the electronic cash ledger and the electronic liability register shall be credited accordingly.

 Any amount of demand debited in the electronic liability register shall stand reduced to the extent of relief given by the Appellate Authority or Appellate Tribunal or court and the electronic tax liability register shall be credited accordingly.

 The amount of penalty imposed or liable to be imposed shall stand reduced partly or fully if the taxable person makes the payment of tax, interest and penalty specified in the show cause notice or demand order and the electronic liability register shall be credited accordingly.

Discrepancy

 A registered person shall, upon noticing any discrepancy in his electronic liability ledger, communicate the same to the officer exercising jurisdiction in the matter, through the common portal in FORM GST PMT-04.

Parts

The Electronic Liability Register consists of two parts - Part I – return related liabilities and Part II. Part I contains – other than return related liabilities. In Part I payments made from the Electronic Cash Ledger and/or credit utilized to discharge the liabilities are also shown in the register. Liabilities pertaining to GST CMP-03, GST ITC-03 and GST REG-16 are also posted in this part. In Part II payments made from the Electronic Cash Ledger and/or credit utilized to discharge the liabilities are also shown in the register. Liabilities not covered in Part-I are accounted for in Part-II. Both parts can be accessed in the portal - Services > Ledgers > Electronic Liability Register > Part – I or Part II.

Some points on Electronic Liability registers

• The landing page of the Electronic Liability Register has a summary of all return related and non-return related liabilities of the taxpayer.
• This register is maintained by GST system itself. It is not maintained for UIN holders.
• The taxpayers, authorized GST Practitioner and his jurisdictional officer can view this Register.
• This registered can be viewed for a maximum period of 12 months.
• If the tax amount is disputed or any stay order has been granted by the Appellate Authority or Court the same will be reflected in the Part II of this register.
•  All payments made against a liability are shown in this Register irrespective of whether the payment/s were made by taxpayers or by the Departmental Officer by initiating recovery proceedings.
• This register itself updated whenever refund order is made.
• A taxpayer can download and save the Register in PDF and Excel format from his dashboard on his computer/laptop.

Instructions displayed on the Register

 In Part II of this registers the following instructions are displayed-

• The payment entries are updated from Utilize cash and/or ITC from Electronic Cash Ledger/Electronic Credit Ledger and also from actions of tax officer while processing and finalizing Refund.
• Any reduction or enhancement in the amount payable due to decision of appeal, rectification, revision, review etc. is reflected in this Part II.
• Payment against a demand which gets reduced subsequently may lead to a situation wherein the electronic liability register shows a negative balance for a particular Demand ID if appeal is allowed/partly allowed. Overall closing balance may still be positive.
• Refund of pre-deposit or negative balance can be claimed for a particular demand ID if appeal is allowed even though the overall balance may still be positive. This is however subject to the adjustment of the refund against any liability by the proper officer.
• The closing balance in this part shall not have any effect on filing of return.
• In order to make payment against amount mentioned in SCN or suo-moto before issue of SCN, taxpayer needs to file an application in Form DRC-03 making a declaration of amount which he wishes to pay. Both the debit as well as credit entries for deposits in this case are created in the electronic liability register simultaneously.
• Reduction in amount of penalty would be automatic, based on payment made after show cause notice or within the time specified in the Act or the rules.

 

Reference

1. www.tutorials.gst.gov.in.