The Unique Document Identification Number (UDIN) is a critical part of the compliance framework for professionals such as Chartered Accountants (CAs) and Cost Accountants. However, with the introduction of certain provisions and changes in GST filings, taxpayers and professionals may wonder if UDIN is required for GSTR-9C. If you have completed GST registration in Karur, understanding the significance of UDIN for GSTR-9C filing is essential to ensure full compliance with the GST laws.

What is UDIN?

The Unique Document Identification Number (UDIN) is a system introduced by the Institute of Chartered Accountants of India (ICAI) to authenticate and validate the certificates and reports issued by Chartered Accountants. The primary aim of UDIN is to prevent misuse of documents and reports issued by CA professionals. It helps ensure that the audit reports, certificates, and reconciliations are genuine and signed by authorized professionals.

Is UDIN Required for GSTR-9C?

The filing of GSTR-9C, which is a reconciliation statement, involves comparing the figures from the financial statements with the GST returns filed during the financial year. Initially, when GST registration in Karur or any other region required the filing of GSTR-9C, auditors (CAs) had to certify the reconciliation statement and file it along with the annual GST return (GSTR-9).

As per the latest guidelines under the GST law, the requirement for UDIN is only applicable when the GSTR-9C is certified by a Chartered Accountant or Cost Accountant. This certification must be done with the use of UDIN, which acts as an identifier to ensure that the reconciliation statement is authentic and has been verified by a licensed professional.

Who Needs UDIN for GSTR-9C?

UDIN is required only if GSTR-9C is certified by a Chartered Accountant (CA) or Cost Accountant. If the GSTR-9C is self-certified by the taxpayer (i.e., the reconciliation statement is prepared by the business without any external professional verification), then UDIN is not required.

GSTR-9C Filing Process Involving UDIN

For businesses with a turnover exceeding ₹5 crore, an auditor must verify the reconciliation of the financial statements and tax paid with the GSTR-9. This process involves:

1. Auditor Review: The Chartered Accountant (CA) reviews the GSTR-9 and reconciles it with the audited financials.
2. Certification: The auditor signs and certifies the GSTR-9C, ensuring that the taxpayer's returns are in accordance with the financial records.
3. UDIN Generation: Upon certification, the CA generates a UDIN for GSTR-9C using the ICAI portal. The UDIN is unique to the specific document and acts as a digital signature verifying the authenticity of the report.
4. Filing GSTR-9C: Once UDIN is generated and affixed to the reconciliation statement, the CA or the business owner can file the GSTR-9C on the GST portal.

Why is UDIN Important for GSTR-9C?

1. Verification: UDIN ensures that the GSTR-9C filed is genuine and certified by an authorized professional.
2. Prevents Fraud: It helps prevent the use of forged documents and reports by validating the auditor’s identity and the document.
3. Audit Trail: It maintains an audit trail for regulatory authorities to trace the document’s authenticity.

Conclusion

If you have completed online GST registration in Karur and are required to file GSTR-9C, understand that UDIN is mandatory only if the reconciliation statement is certified by a Chartered Accountant or Cost Accountant. For self-certification, UDIN is not necessary. Ensuring that the GSTR-9C filing is done with the correct procedures, including the use of UDIN where applicable, can help businesses avoid errors and penalties. For expert assistance with GST registration in Karur or filing GSTR-9C, consulting a professional can ensure timely and accurate compliance.