Form PMT-09

Every assessee, to whom GST is applicable, pays the GST in the form of cash/bank transfer. Such a deposit reflects under electronic cash ledger in the account of the assessee on the GST portal. Thus this amount reflecting under electronic cash ledger is used to pay off GST taxes, penalty, interest, or any other amount payable under the GST Act.

As GST law and process is fairly a new procedure, many taxpayers have faced an issue where the amount has been deposited/transferred under a wrong head, making it difficult to discharge the liabilities under the correct head. In such cases, taxpayers had to deposit/transfer the amount again under the correct head to discharge the liabilities and the amount deposited/transferred under wrong head would remain unutilized or could be claimed through a refund request which was a time-consuming process where the funds would get blocked for a while.

Thus to remove this hurdle, the government introduced Form PMT-09. This form was introduced earlier but due to technical glitches, it wasn’t live on the portal. However, this form is now up & live on the GST portal for use by the taxpayers.

What is PMT-09?

Form PMT-09 is a challan, introduced by CBIC to allow taxpayers, to transfer the amount credited to the wrong head under electronic cash ledger, to a correct head applicable. This form enables single and/or multiple transfers from major to a minor head and vice-versa.

How is Major and Minor Head classified?

IGST, CGST, SGST/ UTGST, and Cess are classified under Major head while interest, penalty, fee, and any other amount payable under GST Act are classified under Minor head. Thus, through Form PMT-09, a taxpayer can shift any amount between any of these heads.

How long does it take for a transfer to be effected?

Once the amount under electronic cash ledger has been transferred to a correct head, it immediately comes under effect and is displayed under the correct head immediately.

Example:Mr. X a taxpayer was liable to pay Rs, 5,000/- as CGST and Rs. 5,000/- as SGST and Rs. 100/- as a penalty for a month. While depositing the amount, he erroneously deposited Rs. 10,100/- under the head IGST. He can now, through the use of Form PMT-09, transfer the amount from IGST to CGST, SGST, and penalty head with appropriate amounts.

Key points to note about Form GST PMT-09

  1. Amount in the electronic cash ledger can be transferred from the head only if the balance under that particular head is available at the time of transfer. For instance, in case an amount has been misreported in the GSTR-3B, there is no way to rectify the same as the GSTR-3B is non-editable. In such case, only and adjustment in the next month’s return can be made.
  2. The amount once utilized and removed from cash ledger cannot be reallocated.

For ease of the readers, a detailed pictorial process on how to transfer the amount using PMT-09 has been attached below.

Pictorial ProcessFAQs

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