Importance and Uses of Electronic Cash Ledger

This document covers

1. Reasons for introduction of GST PMT 09
2. Use of GST PMT 09
3. How to file GST PMT 09

1. Reasons for introduction of GST PMT 09

1. Taxpayers pay GST and the amount gets credited in electronic cash ledger under particular head i.e., Tax, interest or late fee or penalty. The taxpayer needs to utilize the amount in electronic cash ledger against paying off tax liabilities.
2. If the taxpayer deposits the amount under wrong head by mistake, it cannot be used to pay the tax liability which is due under another head. In this case, the taxpayers can claim refund by filing GST refund application in GST RFD 01 under the head “excess balance in electronic cash ledger”.
3. The process of filing refund and waiting for the refund to be disbursed can sometimes leads to blockage of funds for the taxpayer.
4. GST PMT 09 enables the taxpayer to make intra head or inter head transfers from once head to another head

2. Use of GST PMT 09

1. GST PMT 09 provides flexibility to taxpayers to make multiple transfers from one head to another head
2. The taxpayer can transfer any amount of tax, interest, penalty, fee etc under one major head/minor head to another major/minor head if the amount is available in electronic cash ledger.

Example: Mr Rama has a GST liability of Rs 5000 under IGST (Major Head-Tax). But while paying the challan, he has mistakenly paid the challan under the column Interest under CGST. Now he can file GST PMT 09 and transfer the amount paid under CGST- Interest can be transferred to IGST-Tax.

3. How to file GST PMT 09

1. Login to gst.gov.in
2. Go to Services > Ledgers > Electronic Cash ledger > File GST PMT 09
3. Enter the amounts to be transferred and select the relevant head to be transferred
4. Click on File with EVC or DSC
5. Electronic cash ledger will get automatically updated once GST PMT 09 is filed

In case of any specific requirement consultation and / or a service related to your GST, you may consult EZTax.in