GSTIN maintains an electronic ledger to track payments made by individuals registered with GST. The ledger is viewed head wise ie. IGST, CGST, SGST/UTGST, CESS. Deposits made to pay taxes, interest, fines, late fees, and other amounts are credited to an electronic ledger. This article will guide you on how to transfer cash ledger balance in GST.
Table of Contents
What is a cash ledger in GST?
Electronic Cash Ledger provides an overview of all GST payments. This reflects the cash available to pay your GST tax liability. Therefore, all deposits to the GST Portal are credited to the electronic cash ledger. This means that the amount available in the electronic cash register will be used for payment. These payments are related to taxes, interest, GST penalties, and other payments.
How do you transfer cash ledger?
The GST PMT-09 form allows registered or unregistered taxpayers to make intra-head or inter-head transfers of funds available in an electronic cash ledger. Therefore, a registered or unregistered taxpayer may use Form GST PMT-09 to transfer taxes, interest, fines, fees, or other amounts under one header (major or minor) to another (major or minor) or ancillary headers on an electronic ledger.
Follow the steps below to submit your GST PMT-09 form.
1. Visit GST Portal. Login with valid credentials.
2. Go to Services >> Ledgers >> Electronic Cash Ledger option.
3. Click File GST PMT-09 for the Transfer of Amount option to perform intra-head or inter-head amount transfer.
4. Electronic Cash Ledger page appears.
4a. Cash Ledger Balance indicates the transferable electronic ledger balance.
4b. A preview of the updated electronic cash ledger balance is displayed under Cash Ledger Balance ie. After transfer the amount has been transferred through the GST Portal upon filing the GST 09 form, the resulting figures will remain in the various headers.
As details are added to perform intra-head and inter-head transfers of funds, the Ledger Balances – Preview of Updated Balances table is updated accordingly.
5. Tax, interest, penalty, fee, or other amounts from each sub-header (under each main header under IGST, CGST, SGST/UTGST, and Cess) to the corresponding tax, interest, penalty, fee or added to any other amount. Enter the details in From and To and click Save to continue.
You can transfer amounts within or between heads by transferring the maximum amount available for a given header. If you try to transfer an amount that is not available, you will receive an error message stating that there are not enough funds in your ledger to match the amount to be transferred.
6. Click YES to proceed to transfer the amount.
7. . Enter additional records under the Add Record option and click Save.
8. Click YES to proceed with the amount transfer.
9. Both details are added to the Processed Records section. The Cash Ledger Balance-Available for Transfer and Cash Ledger Balance-Preview of Updated Balance tables is updated. Similarly to that, you can select Add Record and add multiple records before selecting Proceed to file.
Note:
Optionally, you can delete the records added to the Processed Records table by clicking the Delete button. As soon as you delete a record, the Ledger Balances – Preview of Updated Balances table in the Processed Records table is updated accordingly. This table shows the balance in the electronic cash ledger (available under various headings) after filing the GST PMT-09 form.
10. Check the Verification checkbox >> Authorised Signatory. Click on file GST PMT-09.
11. Click YES.
12. Click the file with DSC or EVC button. Click proceed.
13. You will receive a confirmation message that the filing was successful and ARN will be displayed on the screen. Click OK.
Note: After filing Form GST PMT-09:
- Once the GST PMT-09 form has been successfully submitted, an ARN will be generated.
- An SMS and email will be sent to the taxpayer’s registered mobile phone and email ID.
- The e-ledger will be updated upon successful submission of the GST PMT-09 form.
- The GST PMT-09 submission form can be viewed/downloaded in PDF format.
How do I refund money from the ledger balance GST?
Follow the steps below to submit an electronic cash ledger excess balance refund request on the GST Portal.
1. Visit GST Portal.
2. Click the Services >> Refunds >> Application for Refund command.
3. The Select Refund Type page will appear. Select the Refund of Excess Balance in Electronic Cash Ledger option as a reason.
4. Click the create refund application.
5. The GST RFD-01 Excess Balance in Electronic Cash Ledger page appears.
6. The balance available in the electronic cash ledger will be automatically entered in the GST RFD-01 form.
7. Enter the refund amount you want to claim for Integrated Tax, Central Tax, State/UT Tax, and Cess in the Refund Claimed table. The refund amount you claim cannot exceed the balance on your electronic cash register.
8. Click to view Electronic Liability Ledger hyperlink to view Electronic Liability Ledger details showing returned and unreturned liabilities/fees.
8.1. Click the go back to refund form to return to the refund application page.
9. Choose the Account Number from the drop-down list.
Note: If you are a general taxpayer or NRTP taxpayer who is not allowed to register and would like to request a refund of the overage amount available in the electronic cash ledger, please log into his GST portal using your TRN (Temporary Reference Number) and Please enter your bank details. Please enter the sample screenshot below. Click here for more information on how to sign up for TRN.
10. In the Upload Supporting Documents section, you can upload supporting documents.
11. Enter the document description >> Add document.
12. Click the Delete button to delete the document.
13. A success message is displayed indicating that the application has been saved. You can get this application and send it 15 days from today. Claims can be accessed via Services > Refunds > My Saved/filed applications and file on the GST Portal.
14. Click preview to download the form in PDF format
15. The form is downloaded in PDF format.
16. Click the PROCEED button.
Note:
To proceed with filing the refund application, the taxpayer must verify her Aadhaar or upload an e-KYC document. Click here for instructions on how to authenticate Aadhaar and how to upload e-KYC documents.
If Aadhaar is not authenticated and the e-KYC document is not uploaded, a message will be displayed and you can click the navigate to profile or cancel button.
17. Check the declaration box.
18. Select the name of the authorized signatory.
19. Click the file with DSC or EVC option.
20. Enter OTP sent to the authorized signatory email address and mobile number registered in the GST Portal and click verify.
21. A success message is displayed and the status changes to Submitted. An application reference number (ARN) receipt will be downloaded and also sent to your email address and mobile phone number. To view the receipt, open the PDF file.
Notes:
The system will generate an ARN and display it in the confirmation message that your refund application is successfully submitted.
The GST Portal will send the ARN to the registered taxpayer’s email and SMS.
The GST Portal will also debit the electronic cash ledger for the amount claimed as a refund.
Filed Application (ARN) can be downloaded as a PDF document using the Saved/filed Applications option under Refunds.
Filed applications can be tracked using the Track Claim Status option under Refunds.
Once an ARN is generated while submitting a refund request on Form RFD-01, the refund request, along with any documentation accompanying the form submission, will be assigned to the Refund Processing Officer to process the refund.
Taxpayers can track the status of their refund application using the status tracking feature.
Your application will be processed and your refund will be issued after verification by the competent authority.
Payment will be made once the relevant tax officer has processed and approved the refund application.
22. ARN receipt displays.
23. Go to Services >> Ledgers >> Electronic Cash Ledger to view the electronic cash ledger debit entry for the amount claimed as a refund.
24. The Electronic Cash Ledger appears. Click the Electronic Cash Ledger link.
25. In the calendar, select the From and To date to select the period for which you want to view electronic cash ledger transactions.
26. The Electronic Cash Ledger details appear. Note electronic cash ledger debit for the amount claimed as a refund. You can view more details by clicking the links below the main headings.
How is cash ledger balance calculated?
The cash ledger balance can be calculated by summing the closing balances for each business day in a given month and dividing the result by the number of days in the given month. A business day’s closing balance reflects all financial transactions posted on that day and all pending financial transactions that are not yet posted. That is, it can be calculated by adding all credits and subtracting all debits from the opening balance for the day.
| Particulars | Debit | Credit | Balance |
| Balance A/c | 200 | 200 | |
| To Cash A/c | 125 | 325 | |
| Balance A/c | 110 | 215 |
What are the methods of cash deposit?
Deposits can be made in one of the following ways:
- Internet banking with authorized banks
- Debit or credit card from an accredited bank
- National Electronic Fund Transfer (NEFT)
- Real-Time Gross Settlement (RTGS)
A maximum deposit of INR 10,000 per chalan can be paid over the counter through an approved bank by check, cash or draft of exchange. However, deposit limits do not apply to deposits made by any of the following companies:
- Deposits designated by government agencies or their agents
- Appropriate officials authorized to collect outstanding debts from unregistered or registered persons.
- Appropriate officials authorized to confiscate amounts in the form of cash, checks, or drafts during an investigation.
Note: Non-registered users can also make payments by generating a temporary identification number through the Common Portal.
Frequently Asked Questions (FAQs)
Can we transfer the cash ledger balance in GST?
Yes, you can use the GST PMT-09 form available on the Electronic Cash Ledger to make intra-head or inter-head fund transfers.
Can we use IGST cash balance to CGST?
A taxpayer can use IGST credits in any proportion and in any order, but the condition is that IGST credits are fully used before CGST or SGST credits are used.
Can GST cash ledger be negative?
The Goods and Services Tax Network (GSTN) has removed negative payables/balances from the ledger.
Wrapping Up
Transferring your cash ledger balance to GST is easy online. The entire process takes just minutes and ensures the accuracy and security of your transactions.
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I am an expert in GST (Goods and Services Tax) and electronic ledgers, with a deep understanding of the processes and regulations involved. My expertise is rooted in the intricate details of GST payments, cash ledger management, and the various forms and procedures associated with the GST system.
In the provided article, the focus is on the electronic cash ledger in GST and how individuals registered with GST can manage their payments effectively. Here's a breakdown of the concepts covered in the article:
-
Cash Ledger in GST:
- The electronic cash ledger provides an overview of all GST payments.
- It reflects the cash available to pay GST tax liability.
- All deposits to the GST Portal are credited to the electronic cash ledger.
- Payments are related to taxes, interest, GST penalties, and other amounts.
-
Transferring Cash Ledger:
- The GST PMT-09 form allows registered or unregistered taxpayers to make intra-head or inter-head transfers.
- Form GST PMT-09 is used to transfer taxes, interest, fines, fees, or other amounts under one header to another.
- The process involves logging into the GST Portal, accessing the Electronic Cash Ledger option, and filing GST PMT-09 for the transfer of the amount.
-
Refunding Money from Ledger Balance:
- Excess balance in the electronic cash ledger can be refunded.
- The process involves visiting the GST Portal, selecting the refund type, creating a refund application (GST RFD-01), entering the refund amount, and providing necessary details.
- Supporting documents can be uploaded, and the application is verified using Aadhaar or e-KYC documents.
- The application status can be tracked, and the refund will be issued after verification.
-
Cash Ledger Balance Calculation:
- The cash ledger balance is calculated by summing the closing balances for each business day in a given month and dividing the result by the number of days in the month.
- The closing balance reflects all financial transactions posted and pending transactions for the day.
-
Methods of Cash Deposit:
- Deposits can be made through internet banking, debit/credit cards, NEFT, RTGS, and over-the-counter payments.
- The maximum deposit limit per challan is INR 10,000, except for specified cases where deposit limits do not apply.
-
Frequently Asked Questions (FAQs):
- Answers to common questions about transferring cash ledger balance, using IGST cash balance for CGST, and the possibility of a negative GST cash ledger are provided.
-
Wrapping Up:
- The article concludes by emphasizing the ease of transferring cash ledger balances online and highlights the accuracy and security of the process.
This comprehensive guide covers the essential aspects of managing the electronic cash ledger in the GST system, from transfers to refunds and frequently asked questions.
