{"id":58671,"date":"2025-01-23T17:03:47","date_gmt":"2025-01-23T11:33:47","guid":{"rendered":"https:\/\/piceapp.com\/blogs\/?p=58671"},"modified":"2025-01-27T16:41:03","modified_gmt":"2025-01-27T11:11:03","slug":"what-is-gst-payable","status":"publish","type":"post","link":"https:\/\/piceapp.com\/blogs\/what-is-gst-payable\/","title":{"rendered":"What is GST Payable? Payment of Tax Under GST"},"content":{"rendered":"\n
The Indian Government introduced the Goods and Services Tax (GST) in 2017 to create a unified taxation system.<\/a> Suppliers of goods and services in India followed by importers have to pay GST if their annual aggregate turnover exceeds the prescribed threshold provided by the government.<\/p>\n\n\n\n GST payable includes multiple components for Indian businesses registered under GST and the Reverse Charge Mechanism (RCM). Learn what is GST payable and how to make GST payments using electronic ledgers in detail here.<\/p>\n\n\n\n The government levies GST on the supply of services and goods in India. GST payable is the total tax liability of a taxpayer to the government for a specific tax period.<\/p>\n\n\n\n The calculation of GST liability includes outward taxable supplies<\/a> or sales after eligible input tax credit consideration on purchases. GST liability of a taxpayer can consist of the following components:<\/p>\n\n\n\n Taxpayers can offset their tax liabilities under the GST system with available ITC if they comply with predetermined set-off rules. After ITC utilisation, taxpayers need to pay the remaining GST liability using the GST portal and preferred payment method.<\/p>\n\n\n\n Here is the entire GST payment process enabled by the government\u2019s digitised system:<\/p>\n\n\n\n You need to calculate the total GST payable, including CGST, SGST, and IGST liabilities, after the ITC adjustment.<\/p>\n\n\n\n You can use the available ITC in your electronic credit ledger to set off your tax liability and reduce the total cash outflow<\/a> for tax payments.<\/p>\n\n\n\n In case an additional tax liability is outstanding after you utilise ITC, you need to pay it by depositing funds into your electronic cash ledger.<\/p>\n\n\n\n As a taxpayer, you can file GST returns in forms GSTR-3B or GSTR-1 as applicable. Ensure the tax returns reflect the correct tax liability for the concerned tax period.<\/p>\n\n\n\n Once you file tax returns, the outstanding liability (if any) needs to be paid by debiting the necessary amounts from your electronic cash or credit ledger.<\/p>\n\n\n\nBasics of the GST Payment Process<\/h2>\n\n\n\n

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Step-by-Step Guide to Payment of Tax Under GST <\/h2>\n\n\n\n
Step 1: Calculate Tax Liability<\/strong><\/h3>\n\n\n\n
Step 2: Utilise Input Tax Credit (ITC)<\/strong><\/h3>\n\n\n\n
Step 3: Deposit Funds into the Electronic Cash Ledger<\/strong><\/h3>\n\n\n\n
Step 4: File GST Returns<\/strong><\/h3>\n\n\n\n
Step 5: Make Payment<\/strong><\/h3>\n\n\n\n