Last date to pay Tax in QRMP Scheme is 25th Know Steps and Interest if delayed

QRMP stands for Quarterly Return and Monthly Payment scheme. QRMP Scheme allows taxpayers to file the GSTR-3B quarterly, but to pay taxes on a monthly basis. A registered person who is required to furnish a return in FORM GSTR-3B, and who has an aggregate turnover of up to 5 Crore rupees in the preceding financial year, is eligible for the QRMP Scheme. Further, in case the aggregate turnover exceeds 5 Crore rupees during any quarter in the current financial year, the registered person shall not be eligible for the scheme from the next quarter.

What is the due date of QRMP Scheme?

Person who has opted the QRMP scheme is required to pay the tax due in each of the first two months of the quarter by the 25th of the next month for that quarter. For example, the tax due for the month of January 2021 should be deposited by 25th February 2021.

The tax must be paid using Form GST PMT-06. The taxes can be paid either using the fixed sum method or the self-assessment method. Both the methods are discussed in detail below.

What are the various methods of Payment under QRMP Scheme?

Person who has opted for QRMP scheme can make payment for the first two months of the quarter by using either of the below method:

1. Fixed Sum Method: Under this method, a taxpayer is required to pay an amount of tax as in the pre-filled challan (on the basis of the previous tax payment) in Form GST PMT-06, which is an amount equal to 35% of the tax paid in cash.

For example:

Tax paid in Quarter Jan-Mar 21	Amount	Tax to be paid in each month, for Apr 21 and May 21	Amount
CGST	1000	CGST	350
SGST	1000	SGST	350
IGST	2000	IGST	700

However, if a taxpayer has been filing his return monthly for Jan-Mar 21, then he/she can opt to pay an amount equal to the tax paid in the last month of the preceding quarter.

Tax paid in Mar’21	Amt	Tax to be paid in each month, for Apr’21 and May‘21	Amt
CGST	100	CGST	100
SGST	100	SGST	100
IGST	200	IGST	200

2. Self Assessment Method (Actual basis): In this method, a taxpayer will pay the tax on outward supplies after considering the input tax credit available with him. Under this case, the taxpayer manually arrives at the tax liability and deposit it through Form GST PMT-06. The taxpayer can refer Form GSTR-2B to arrive at the amount of ITC available.

Notes:

The amount deposited by the taxpayer for the first two months of the quarter shall be solely debited for the purpose of offsetting the liability in that quarter’s Form GSTR-3B. Any amount remaining after filing that quarter’s Form GSTR-3B may either be claimed as a refund or used for any other purpose in the subsequent quarters.

In the case of cancellation of registration of a taxpayer during any of the first two months of the quarter, he would still be required to furnish his Form GSTR-3B for that relevant tax period.

Is Interest applicable under QRMP Scheme?

Interest is applicable under the QRMP scheme under below circumstances:

a. Payment is not made in Form GST PMT-06: In case the payment is not made by the taxpayer within the stipulated time period i.e. on or before due date, than interest will be applicable from the due date of furnishing Form GST PMT-06 till the date of making payment

b. Non-filing of Form GSTR-3B: If the return in Form GSTR-3B is not filed within the due date, then interest is applicable as per the provisions of Section 50 of the Central Goods and Services Tax (CGST) Act for the tax liability, net of ITC.

Interest at the rate of 18% p.a. of the net tax liability which remains unpaid or paid after the due date for any of the months of the quarter.

Also, a late fee is applicable if there is a delay in filing the returns (GSTR-3B/GSTR-1). A late fee of Rs.50 per day is charged (Rs.20 for nil returns), subject to a maximum of Rs.5,000. However, no late fee is charged for a delay in payment of tax for the first two months of the quarter.

Stepwise process to make payment under the QRMP scheme:

Below are the steps for payment of tax under QRMP scheme:

Step 1: Go to https://services.gst.gov.in/services/login

Step 2: Now under service tab, go to payment and select “Create Challan” option

Step 3: Now select reason for challan as “monthly payment for Quarterly return” and select the period from the drop down for which tax payment is to be made.

In the next step the taxpayer has to choose the challan type i.e. whether to pay 35% of challan or pay challan on self assessment basis

Step 4: In case the taxpayer choose 35% of challan option than he has to follow the following steps:

1. Select “35% CHALLAN option” and Click on “Proceed” button

2. The system will generate the challan on the basis of 35% of challan paid for the previous tax period, now click on “Generate 35% Challan“ button you will be redirected to next page where you be choosing the mode of payment i.e. e- payment or over the counter or NEFT/ RTGS mode and the Bank name.

Once the above details are selected the taxpayer is directed to bank website where the payment will be made using the bank login credentials of the taxpayer.

In case the taxpayer chooses challan on self assessment basis option than he has to follow the following steps:

1. Select “Challan on self-assessment basis” and Click on “Proceed” button

2. In the next page the normal challan will appear where the taxpayer is required to provide the details of tax to be deposited in the various major head and minor head and choose the mode of payment i.e. e- payment or over the counter or NEFT/ RTGS mode and the Bank name.

Once the above details are selected click on “Generate Challan” button the taxpayer is directed to bank website where the payment will be made using the bank login credentials of the taxpayer.

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