Accounts and Records : Types, Place of Maintenance, Time Limit of Preservation

Place of Maintenance of Accounts and Records Under GST

Every registered person shall keep and maintain accounts and records at his principal place of business. In case of multiple places of business (as specified in the certificate of registration), the accounts relating to each place of business shall be kept at the respective places of business concerned. Hence, all records are to be maintained at each place of business. Records can be kept in electronic form.

Time Limit For Preservation of Books of Accounts

Every assessee shall retain the prescribed books of accounts and other records until the expiry of sixty months (5 years) from the last date of filing of Annual Return for the year pertaining to such accounts and records.

If the annual returns for the FY 2017-18 are filed on say 30.12.2018, then the books of account and other records are to be maintained till 30.12.2023.

Time Limit for Preservation of Accounts, in Case of Pending Proceedings

In case an appeal or revision or any other proceeding is pending before any Appellate Authority or Tribunal or Court, the assessee shall retain the books of account and other records pertaining to the subject matter of such appeal or revision or proceeding for a period of one year after final disposal of such appeal or revision or proceeding, or for the period specified records u/s 42(1), whichever is later.

Ledgers To Be Maintained

Taxable person shall maintain three kinds of ledgers electronically. Same are as under:

1) Electronic Cash Ledger: This shall be similar to existing manual PLA register under excise. On payment the amount shall be credited and on utilization the same shall be debited

2) Electronic Input Tax Credit Ledger or Electronic Credit Ledger: This shall contain the details of all the credits claimed by the taxable person. Matching of the credit of the receiver shall be done with the details uploaded by the supplier.

3) Electronic tax Liability Ledger: It shall contain details of all liabilities of a taxable person.

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