does the government department file gst returns?
or their liability ends at deducting tds ?
According to the web search results123, the government department or any other entity that is liable to deduct TDS under GST has to file a return in Form GSTR-7 electronically within the 10th of the month succeeding the month in which deductions have been made4. The rate of TDS notified under the GST laws is 2% (1% CGST+1% SGST or 2% IGST) on the payments made to the supplier of taxable goods or services, where the total value of such supply under an individual contract exceeds Rs.2,50,00015.
The liability of the deductor does not end at deducting TDS. The deductor also has to issue a certificate to the deductee in Form GSTR-7A within five days of crediting the amount to the government, failing which the deductor would be liable to pay a late fee of Rs.100 per day from the expiry of the fifth day till the certificate is issued3. The deductee can claim the credit of TDS in his electronic cash ledger and use it for payment of GST liability1
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