GST ITC 04 Form

as of September 24, 2021 Central Tax notification number 35/2021, dated 24 September 2021, has amended frequency of reporting ITC-04 form, effective October 1, 2021. revised guidelines are as follows:

(1) AATO holders above Rs. 5 crore: semi-annual payments due on October 25 for April through September & April 25 for October through March.
(2) Those with annual AATO of up to Rs. 5 crore from FY 2021–22 that is payable on April 25.
 

What Is GST ITC-04 Form?

Manufacturers are required to file GST ITC 04 Form on quarterly basis (Principal). Regarding penalty for filing ITC 4 form after deadline under GST, there isn't any in relation to that. job worker is individual who completes task assigned to them on products that are produced by another party. Since principal manufacturer retains ownership of items, that person is referred to as principal. For instance, belt manufacturer might assign task to different employee, such as drilling holes in belt. In this case, principal is manufacturer, & job worker is one punching holes. After finishing his portion of task, worker will deliver goods—belts—to manufacturer.

Who Needs To File Form GST ITC-04?

GST Form ITC-04 must be filed by registered taxpayers engaged in manufacturing, trading, or job work activities. It applies to those who send goods for job work or receive them back from job workers. return is mandatory for both registered & unregistered job workers under Goods & Services Tax (GST) in India. Businesses with annual aggregate turnover exceeding INR 5 crore must file ITC-04 half-yearly by October 25th & April 25th for April-September & October-March quarters, respectively. Those with turnover of up to Rs. 5 crore file ITC-04 annually by April 25th. form captures detail of inputs or equipment sent to employees, inputs or capital goods received from employees, & capital goods transferred between employees within quarter.

Key Components Of ITC 04 Form

Basic information about producer:

• principal manufacturer's or registered manufacturer's Goods & Service Tax Identification Number (GSTIN).
• manufacturer's legal name, which is name that appears on PAN card used to register GSTIN.

Note: trade name & legal name may differ.

• Trade name (if applicable), which is name that maker uses to raise invoice or trade goods.
• Period, or quarter in which supplier is providing GST ITC 04 Form

Information about capital goods or inputs sent to employee:

• GSTIN of employee who is registered or state of employee who is not registered
• Challan date -Challan number
• Shipment description -Unique Quantity Code (UQC)
• Amount - Valuable at tax
• kind of items (capital goods or inputs).
• Tax rate, including CGST, IGST, SGST/UGST, & cess.

Specifics of capital products or inputs that job worker provided:

Inputs or items returned by job worker to whom commodities were dispatched for job labor are detailed in Section A.

• state of unregistered job worker or registered job worker's GSTIN

job worker's Challan number, which manufacturer uses to track goods they get. It is optional column in table if job worker hasn't issued any new challans.

• date on Challan that job worker created & sent back products
• Product description
• UQC -Material
• original invoice number that is used to send products for work. If there is no relationship between products delivered for job labor & goods returned, this column does not need to be filled out.
• type of work performed by employee -Losses & waste (including number of items & UQC)
   

Due Date To File ITC 04 In GST

Section B: Information on inputs or commodities returned by job worker, except job worker to whom goods were originally given for job labor

• state of unregistered job worker or registered job worker's GSTIN - job worker's Challan number, which identifies goods received by manufacturer. It is optional column in table if job worker hasn't issued any new challans.
• date on job worker's Challan, which was created after returning products.
• Product description; -UQC; -Amount; -Original challan number, which is used to send products for job work.
• If there is no relationship between products delivered for job labor & goods returned, this column does not need to be filled out.
• Type of work performed by employee

Wastage & losses (including quantity of items & UQC).

Section C: Information on supplies or inputs that were shipped to job worker & then provided from job worker's location.

• GSTIN of state of unregistered employees or registered employee
• Invoice Number (issued by Principal) in event that items are provided from job worker's location.
• invoice date, which is provided by principal if items are provided from job worker's premises.
• Product description; -UQC; -Amount; -Original challan number, which is used to send products for job work. If there is no relationship between products delivered for job labor & goods returned, this column does not need to be filled out.
• type of work performed by employee -Losses & waste (including number of items & UQC).

What Documents Are Required For Filing Form GST ITC-04?

To file Form GST ITC-04, which is declaration form for registered persons (Principals) showing details of inputs or capital goods dispatched to or received from job worker in tax period, follow these steps:

• Access GST Portal: Visit GST Portal & log in with valid credentials.
• Navigate to ITC Forms: Click on “Services” > “Returns” > “ITC Forms.”
• Prepare Online: Click “PREPARE ONLINE” button next to GST ITC-04 tile.
• Select Financial Year & Period: Choose financial year & return filing period from drop-down list.
• Enter Details in Relevant Tables:
• Table 4: Details of inputs/capital goods sent for job work (including direct dispatch to job worker’s place of business).
• Table 5A: Details of inputs/capital goods received back from job worker (including losses & wastes).
• Table 5B: Details of inputs/capital goods received back from different job worker (other than original one) & losses/wastes.
• Table 5C: Details of inputs/capital goods sent to job worker & subsequently supplied from their premises (including losses & wastes).
   

How To File ITC 04 In GST Online & Offline?

In GST Online, how can I file ITC 04?

Step 1: Go to GST Portal & log in.

Step 2: Choose "Returns" under "Services," & then choose "ITC Forms."

Step 3: Choose "GST ITC 04" & "Prepare Online."

Step 4: Click "Search" after choosing appropriate Financial Year & return filing period from drop-down menus.

Step 5: Click "Save" after entering information in tables.

Step 6: Click "File Return"

Step 7: Create OTP & confirm response. Digital Signature Certificate (DSC) is another tool that taxpayers can utilize to verify form.

How Can I File ITC 04 Offline for GST?

Step 1: Go to GST Portal & log in.

Step 2: Choose "Returns" under "Services," & then choose "ITC Forms."

Step 3: Choose "Prepare Offline" under "GST ITC4."

Step 4: Select invoice & upload it.

Step 5: Press "Start Filing" button.

Step 6:Choose tax period.

Step 7: Verify information & taxable amount.

Step 8: Create OTP, check return, or use DSC to validate.

What Are Consequences Of Not Filing Form GST ITC-04?

GST Form ITC-04 pertains to goods sent to job workers within GST framework. If taxpayer fails to file this form, consequences include potential penalty of up to ₹25,000. Additionally, GST authorities may take enforcement actions such as demanding tax payments, interest, or even suspending taxpayer’s registration. It’s crucial for businesses to comply with filing requirements to avoid these penalties & ensure smooth operations. 

Conclusion

Form ITC-04, also known as Input Tax Credit Form, is essential for GST Input Tax Credit Return. ITC-04 filing is required for GST Annexure for Job Work, ensuring ITC-04 compliance. This Goods & Services Tax Input Credit Form tracks job work returns under GST. Accurate GST ITC-04 submission is crucial for maintaining proper GST records & compliance.