GSTR-8

April 18, 2025 by Team Instabizfilings

What is GSTR-8?

GSTR-8 is a return form under the Goods and Services Tax (GST) in India that is filed by e-commerce operators who are required to collect Tax Collected at Source (TCS) on sales made through their platform. This return is specifically designed for the e-commerce sector and allows them to report the TCS collected during a given period and ensure compliance with the GST laws.

E-commerce operators are required to collect TCS at a prescribed rate on payments made to sellers/vendors on their platform. This tax is collected by the e-commerce platform and remitted to the government on behalf of the seller. GSTR-8 is used to report the details of such TCS collections and provide information about the sales made by the sellers on the platform.

Who Should File GSTR-8?

E-Commerce Operators: Any entity or individual operating an online marketplace or platform, such as Amazon, Flipkart, Snapdeal, etc., who is required to collect TCS on the sales made by vendors or sellers on their platform, must file GSTR-8.
TCS Collection: The e-commerce operator collects TCS from the sellers on the supply of goods or services made by them on the platform, and this tax is reported and remitted to the government through GSTR-8.

It is important to note that the individual sellers who make sales through the e-commerce platform are not required to file GSTR-8. Only the e-commerce operator is responsible for filing the return.

Due Date for Filing GSTR-8

The due date for filing GSTR-8 is generally the 10th of the following month. For example, the GSTR-8 for the month of March should be filed by the 10th of April.

The e-commerce operator is required to file this return on a monthly basis, even if there were no sales or TCS collected during that period.

GSTR-8 Return Format

The GSTR-8 return form is divided into various sections where the e-commerce operator must fill in specific details regarding the TCS collection, the sellers involved, and the tax paid. Here is an overview of the format of the form:

Part A: Basic Details

GSTIN of the E-commerce Operator: The GST Identification Number of the e-commerce operator filing the return.
Return Period: The month for which the return is being filed.
Legal Name of the E-commerce Operator: The name of the entity or individual responsible for the platform.
Aggregate Turnover: The total turnover of the e-commerce operator.

Part B: TCS Collection Details

This section is used to provide details about the TCS collected during the reporting period:

GSTIN of the Seller/Vendor: The GST Identification Number of each seller from whom the e-commerce operator has collected TCS.
Details of Sales Made by Seller: Information about the sales made by the seller, including the taxable value and the TCS collected.
TCS Collected: The amount of Tax Collected at Source by the e-commerce operator for each seller. The rate of TCS is generally 1% for goods and services, but it may vary in specific circumstances.
Amount of TCS Paid: The amount of TCS that has been paid to the government by the e-commerce operator on behalf of the sellers.

Part C: Summary of Tax Liabilities

Summary of TCS: This section summarizes the total TCS liability for the month, segregated by different tax components (e.g., IGST, CGST, SGST, and Cess).
Total Tax Collected: The total amount of TCS collected by the e-commerce operator during the reporting period.

Part D: TCS Payment

Details of Payment Made to Government: This section provides information about the TCS payments made to the government, including payment reference numbers and challan details.

Part E: Other Information

Additional Information: Any additional information related to the TCS collection and payment, such as corrections or adjustments, if applicable.

Steps to File GSTR-8

Login to the GST Portal: Users must visit www.gst.gov.in to access the GST Portal while utilizing their login credentials together with their GSTIN.
Navigate to GSTR-8: Once logged in, go to the "Returns" section and select GSTR-8.
Enter Basic Details (Part A): Fill in the basic details such as your GSTIN, return period, and name of the e-commerce operator.
Enter TCS Collection Details (Part B): Provide the details of the TCS collected from each seller during the month. This includes the GSTIN of each seller, their sales details, and the TCS amount collected.
Provide Summary of Tax Liabilities (Part C): Enter a summary of the TCS collected and the total tax liabilities, categorized by IGST, CGST, SGST, and Cess.
Enter TCS Payment Details (Part D): Enter the details of any TCS payments made to the government, along with the payment reference number.
Review and Submit the Return: After entering all the necessary information, review the form to ensure its accuracy, then submit the return.
Download the Acknowledgment Receipt: After successful submission, download the acknowledgment receipt for your records.

Important Points to Note About GSTR-8

TCS Collection: The TCS is collected by the e-commerce operator at the rate of 1% on the sale of goods or services made through their platform (0.5% for CGST and 0.5% for SGST or 1% for IGST if the seller is located in another state). This tax is collected on behalf of the seller and remitted to the government.
TCS Credit to Sellers: The TCS collected by the e-commerce operator is reflected in the seller's GSTR-2A. The seller can use this credit while filing their own GST returns to offset their tax liabilities.
No TCS on Exempt Goods: TCS is not applicable on sales of exempt goods or services, so make sure to exclude such sales from the TCS calculation.
Late Fees and Penalties: If GSTR-8 is not filed by the due date, a penalty is imposed. The late fee for non-filing is ₹200 per day (₹100 for CGST and ₹100 for SGST), which can accumulate up to a maximum of ₹5,000.
Monthly Filing: GSTR-8 must be filed on a monthly basis, irrespective of whether there were any transactions or TCS collections during the month.
TCS Reconciliation: The e-commerce operator must ensure that the TCS amount reported in GSTR-8 reconciles with the amount deposited with the government. Any discrepancy may lead to issues during audits or future filing.

Common Issues with GSTR-8 Filing

Incorrect TCS Calculation: If the TCS amount is incorrectly calculated or reported, it can lead to discrepancies in the returns of both the e-commerce operator and the sellers. Ensure accurate TCS calculations based on the applicable rate and taxable value.
Failure to Report TCS Collected: If the TCS collected from a seller is not reported correctly in GSTR-8, it can result in the seller not receiving the appropriate TCS credit in their GSTR-2A, leading to reconciliation issues.
Late Filing Penalty: Failing to file GSTR-8 on time will result in a late fee, which can accumulate quickly. Always file the return by the due date to avoid penalties.
Mismatch Between Operator and Seller Data: GSTR-8 and GSTR-2A must match for all sellers. Any discrepancies in the data can lead to disputes or issues in credit reconciliation.
Incorrect GSTIN or Sales Details: Ensure that the GSTIN of the seller and sales details are entered correctly in GSTR-8 to prevent mismatches with the seller's records.

Conclusion

Under the GST system e-commerce businesses need to perform mandatory GSTR-8 submissions. The proper report filing together with taxes remitted to the government combined with the distribution of correct Input Tax Credit (ITC) relies on TCS handling. Operating companies in e-commerce must keep accurate records together with precise TCS calculations and timely submission of GSTR-8 to prevent GST penalties and maintain compliance. GSTR-8 filing maintains the accuracy of tax processes because it helps maintain tax credit operations and avoids record discrepancies in later tax filings.

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