The Goods and Services Tax (GST) system in India has transformed the way businesses track, manage, and report their financial activities. For businesses registered under GST, knowing how to check their annual turnover on the GST portal is essential. The annual turnover is a critical factor that impacts various aspects of a business’s GST compliance, such as tax filing, eligibility for certain schemes, and understanding whether a business qualifies for any exemptions or lower tax rates.

This article will walk you through the process of checking your annual turnover on the GST portal in just three simple steps. We’ll also discuss why knowing your turnover is vital, and how it can impact your business operations under GST.

Why Is Annual Turnover Important for GST?

Annual turnover in GST is the aggregate value of all taxable supplies, exempt supplies, exports of goods and services, and inter-state supplies made during a financial year. Here’s why it’s important to monitor your turnover regularly:

1. GST Registration Requirement: Businesses that exceed the prescribed turnover threshold must register for GST. As of 2023, the threshold is ₹40 lakh for goods and ₹20 lakh for services in most states.
2. Tax Liability: Your turnover determines how much tax liability you will incur and when you need to file returns.
3. Eligibility for Composition Scheme: Small businesses with a turnover of less than ₹1.5 crore (for goods) or ₹50 lakh (for services) can opt for the Composition Scheme, which allows for reduced tax rates.
4. Input Tax Credit: Knowing your turnover helps in claiming the right amount of input tax credit, thereby optimizing your business’s tax efficiency.
5. Annual Return Filing: Businesses need to file annual returns (GSTR-9) and it’s crucial to report accurate turnover to avoid penalties.

How to Check Annual Turnover on the GST Portal

Now that we understand the importance of turnover under GST, let’s go through the three simple steps to check it on the GST portal.

Step 1: Login to the GST Portal

The first step to checking your annual turnover is to log in to the official GST portal using your credentials.

1. Visit the GST Portal.
2. On the homepage, click on the “Login” button located at the top right corner of the screen.
3. Enter your username and password along with the captcha code provided, and click on the “Login” button.

Once you’re logged in, you’ll have access to various features related to your GST registration, tax filing, and compliance.

Step 2: Navigate to the ‘Returns Dashboard’

After logging in, you need to access the Returns Dashboard to view your turnover.

1. On the dashboard, find the option labeled “Returns Dashboard” and click on it.
2. Select the relevant financial year for which you want to check the annual turnover. You can view this by selecting the appropriate period in the drop-down menu.

This dashboard provides an overview of the returns you have filed for the selected financial year. It includes details like GSTR-3B (monthly/quarterly summary return), GSTR-1 (details of outward supplies), and GSTR-9 (annual return).

Step 3: View Annual Turnover in GSTR-1 or GSTR-3B

To check the annual turnover, you need to extract the information from the filed returns, particularly the GSTR-1 and GSTR-3B forms. These returns summarize your monthly or quarterly taxable supplies, exempt supplies, and tax liabilities, which together contribute to your total turnover.

1. GSTR-1: Click on the GSTR-1 form for the relevant financial year. This form contains detailed information about all outward supplies made by your business.
   • Under GSTR-1, look for the section that summarizes total taxable supplies, exempt supplies, and export sales. The sum of these values constitutes your gross turnover.
2. GSTR-3B: Alternatively, you can also refer to GSTR-3B, which gives a quick snapshot of your monthly or quarterly tax liability. This includes the total taxable turnover, exempted supplies, and non-taxable outward supplies.

By reviewing these forms for all the months or quarters within a financial year, you can calculate your total annual turnover.

Additionally, the GST portal often provides an auto-calculated turnover in the GSTR-9 (Annual Return) form. GSTR-9 consolidates all your monthly or quarterly returns (GSTR-1 and GSTR-3B), making it easier for businesses to track their overall turnover for the entire year.

Importance of Accurate Turnover Reporting

Ensuring that your turnover is accurately reported is crucial for several reasons:

• Avoiding Penalties: Incorrect reporting of turnover could lead to penalties, interest charges, or even audits by tax authorities.
• Claiming Benefits: If your turnover falls below certain thresholds, you can claim exemptions or opt for reduced tax rates under the Composition Scheme.
• Filing Annual Returns: The GSTR-9 form (annual return) must accurately reflect your annual turnover. Any discrepancies between the monthly returns and the annual return can trigger scrutiny.

How the Composition Scheme Affects Turnover

The Composition Scheme is designed for small businesses with lower turnover. It offers a simplified tax structure with a flat tax rate, which is generally lower than regular GST rates. Businesses that opt for this scheme must declare their turnover accurately, as exceeding the specified threshold disqualifies them from continuing under the scheme.

Here’s how turnover thresholds work for the Composition Scheme:

• For goods, businesses with a turnover of less than ₹1.5 crore are eligible.
• For services, businesses with a turnover under ₹50 lakh qualify for the scheme.

By regularly checking your annual turnover, you can decide whether you should opt for or continue with the Composition Scheme, which can offer significant tax savings for small businesses.

Frequently Asked Questions (FAQs)

1. Can I check the annual turnover for previous financial years?

Yes, you can check your turnover for previous financial years by selecting the relevant period in the GST portal’s Returns Dashboard. Make sure to review both your GSTR-1 and GSTR-3B returns to get a complete picture.

2. Is the annual turnover auto-calculated on the GST portal?

Yes, the GST portal provides auto-calculated turnover figures in the GSTR-9 (Annual Return) form. This calculation is based on the data you submit in your GSTR-1 and GSTR-3B returns throughout the year.

3. What should I do if there’s a discrepancy in the turnover reported in GSTR-1 and GSTR-3B?

If you notice any discrepancies between your GSTR-1 and GSTR-3B returns, you should immediately reconcile the data. Failing to address such issues can lead to notices from the GST authorities.

Conclusion

Tracking your annual turnover is vital for maintaining GST compliance and ensuring that your business stays on the right side of tax laws. The GST portal provides an easy-to-navigate system that allows businesses to review their turnover through monthly and annual returns. By following the simple steps outlined above, you can easily access this information and ensure your business is operating within the required tax guidelines.

TheGSTCo offers expert support to help e-commerce businesses manage their GST compliance, including checking annual turnover. With the right tools and knowledge, your business can stay compliant and focus on growth.