CA Pooja Madhan

The Central Board of Indirect Taxes and Customs (CBIC) has recently come up with the a new Challan Form PMT-09 for shifting the GST wrongly paid. It will help the taxpayer to transfer the wrongly paid any amount of tax, interest, penalty etc. that is still available in the electronic cash ledger to the appropriate head under the IGST, CGST and SGST.

Hence if the taxpayer has wrongly paid CGST instead of SGST he can now transfer the amount in the cash ledger of CGST into the SGST by using the Form PMT-09.

The facility of availing this service is available to all taxpayers registered under the GST Act w.e.f 21st April, 2020 as this form has made alive on the GST portal.

For availing this facility taxpayer has to logon to his GST portal and under the tax of electronic cash ledger he use the Form GST PMT-09 and transfer the electronic cash ledger balance.

Form GST PMT-09 will not be useful in certain cases;

  1. If the payment of GST under the wrong head has already been utilized for the payment of output tax liability, the amount will not be available in the concerned cash ledger to transfer to the other head, hence the facility will not useful.
  2. If the amount wrongly paid has been claimed as a refund, the balance will not be available in the electronic cash ledger and hence Form GST PMT-09 will not be useful .

Format of the Form GST PMT-09

The form has been divided into two sections, 1st section will show the balance available in the electronic cash ledger and the 2nd section will allow the transfer the balances from one head to the other.

The major heads in the form refers to the IGST, SGST, SGST/UGST and cess and the minor head refers to the Tax, Interest, Penalty, Fee and others.

Since the GST was rolled out from 1st July, 2017 in India, there has been a lot of technical challenged and glitches that were faced by the taxpayers, one of them was the issue of non transferability of the amount of GST paid to the wrong heads, the refund procedure takes time and it became a problem for the taxpayer if the taxpayer is not able to utilize the GST paid under wrong head. But due to the introduction of the Form GST PMT-09 it will not be a problem for the taxpayers anymore.