Hello, in this post we will see what are different types of ledgers in GST. We will discuss the following options:
A registered taxpayer has 3 different ledgers under GST created and maintained during the registration process.
- Electronic Tax Liability Ledger
- Electronic Cash Ledger
- Electronic Credit Ledger
The Electronic Tax Liability Ledger
An electronic tax liability register maintains the liabilities of a taxpayer under GST.
This ledger under GST contains details like the tax due on filing a GST return, interest, penalty and demands of a taxpayer.
Electronic Cash Ledger
A registered taxpayer can make GST payment through online banking, credit or debit card, wire transfer or over the counter payment. Then you can see the amount in this ledger under GST.
The GST tax payment is done through a bank if your tax amount is over Rs.10,000.
So, when a taxpayer makes GST payment, he should specify the heads under which payments are to be credited. (major heads are CGST, SGST, IGST and minor heads like tax, interest, penalty, fees and others.)
Finally, based on the tax challan and heads, this ledger will display your available balance.
It maintains a record of GST payment made by the customer. It also includes credit for the amount deducted as TDS or TCS of the taxpayer under GST.
Electronic Credit Ledger
An electronic credit ledger under GST records all the tax payments made by a taxpayer.
Then it auto fetches the data based on the GSTR-1 and GSTR-2 returns filed by all registered taxpayers under GST.
So, to compensate GST liability you can use the credit in your electronic credit ledger. The different types of credits available are:
The IGST payment can be done using your IGST input tax credit. You can also use it to pay tax liability under CGST and SGST.
Your IGST liability can be paid using your CGST input tax credit but cannot pay your SGST liability.
You can pay your liability under IGST with SGST input tax credit but you cannot pay your CGST liability.
All payments under GST is done by using the available credits in your electronic credit ledger or electronic cash ledger.
A unique identification number then generated in the GST portal for your every debit or credit to the electronic cash or credit ledger.
We have come to an end of this post on types of ledgers under GST. So, let us know about your views in the comments section below.