Which balance can PMT-09 move?
Form GST PMT-09 moves available electronic cash-ledger balances. Within one GSTIN it supports transfers between permitted major and minor heads. Between distinct GSTINs on the same PAN, the direct route is restricted to CGST/IGST source and destination heads and is barred if the transferor has any unpaid liability in its electronic liability register. It does not move input tax credit, and filing it does not itself discharge a tax liability.
The framework checked on 23 October 2026 is section 49(10)–(11), rules 87(13)–(14), the 5 July 2022 Notification 14/2022–Central Tax and the GSTN PMT-09 user manual. This guide addresses registered persons. Read the 2026 GST bare-law compilation, section 49 and rule 87 alongside the notification rather than applying old instructions that describe only transfers within a GSTIN.
Choose the route before entering amounts
| Control | Within the same GSTIN | Different GSTIN on the same PAN |
|---|---|---|
| Major heads | IGST, CGST, SGST/UTGST and cess, subject to the relevant ledger and portal facility | Direct source and destination heads are CGST/IGST |
| Minor heads | Tax, interest, penalty, fee and others can be mapped to the appropriate major/minor head | The official manual permits available minor-head balances within the CGST/IGST major-head route |
| Recipient identity | The same registration | Verify the same PAN and correct distinct registration; common ownership alone is insufficient |
| Unpaid liability gate | Do not import the cross-GSTIN proviso as the text of every own-GSTIN transfer | Any unpaid transferor liability in the electronic liability register blocks this route |
| Nature of funds | Available cash-ledger balance | Available cash-ledger balance; neither ITC nor bank cash awaiting ledger credit |
Work from live ledgers, not the original challan
A challan evidences a deposit; it does not prove how much remains available after offsets or earlier transfers. Export the transferor’s current electronic cash ledger by major and minor head. Separately review the electronic liability register. For a transfer between registrations, verify the proposed recipient’s GSTIN against the same PAN, its portal status and the correct destination head. The manual describes selecting that transferee and warns when an inactive GSTIN is selected.
A positive balance under an ineligible source head is not direct cross-GSTIN capacity. The table above describes the direct route in the notification and manual. Do not claim that SGST, UTGST or cess can be sent directly to another GSTIN through that route, or promise that a series of reclassifications will always be accepted without checking the applicable law and live controls.
A transfer is a ledger movement; payment requires a separate offset
Section 49 treats the outgoing transfer as a deemed refund from that cash ledger and the incoming credit as a deemed deposit. Those statutory descriptions do not mean that PMT-09 is a bank-account refund application. Record matching transfer entries, retain the acknowledgement and verify the recipient ledger. Then perform the appropriate tax-payment or return offset separately. Until that debit occurs, the liability has not been settled merely by positioning cash under the right head.
The unpaid-liability gate is not an excess-balance calculation. Even a small unpaid transferor liability prevents a cross-GSTIN transfer under the stated proviso; subtracting that liability and sending the balance does not satisfy the condition. If an entry is contested, obtain the proper reconciliation or remedy and confirm its legal and ledger status. Do not manually ignore it or describe the balance as freely transferable.
Filing and post-filing controls
GSTN’s manual places PMT-09 under Services, Ledgers, Electronic Cash Ledger. Select the appropriate same-GSTIN or same-PAN different-GSTIN route, enter each source/destination combination, inspect the preview and complete verification with the applicable signatory authentication. Retain the ARN and filed-form download, then reconcile actual ledger entries. A saved draft or preview is not evidence of an effected transfer. Portal instructions describe operation; the Act and rules determine eligibility.
Keep cash-ledger transfers separate from ITC-02 business-transfer mechanisms, credit utilisation restrictions and refunds of tax paid under the wrong tax head. Those issues have different statutory conditions. An internal accounting journal, even between branches of one legal entity, cannot itself move a GST portal balance.
Worked illustrations
These illustrations use fictional facts and expressly stated assumptions. Amounts are Indian rupees unless a different currency or unit is specified. They are independent examples, not findings about any actual client.
Illustrative example 1: Move tax cash within one registration
CGST-tax cash is ₹80,000 and SGST-tax cash is ₹5,000. An otherwise valid own-GSTIN PMT-09 transfer of ₹35,000 from CGST-tax to SGST-tax leaves ₹45,000 and ₹40,000 respectively. The total remains ₹85,000. This cash-ledger facility is different from using CGST ITC against SGST output tax.
Illustrative example 2: Correct a minor head
Within one GSTIN, ₹20,000 is available in IGST-fee cash and ₹500 in IGST-interest cash. A permitted ₹7,500 transfer leaves ₹12,500 in fee and ₹8,000 in interest. Confirm that these are live available balances, not amounts already consumed.
Illustrative example 3: Transfer to a same-PAN registration
Registration A has ₹1,20,000 CGST-tax cash and no unpaid liability in its electronic liability register. Registration B, on the same PAN, has ₹10,000 IGST-tax cash. A valid ₹90,000 cross-GSTIN transfer leaves A with ₹30,000 and B with ₹1,00,000; combined cash remains ₹1,30,000.
Illustrative example 4: A small unpaid entry still matters
The transferor has ₹50,000 eligible cash and an unpaid ₹1 entry in its electronic liability register. The proposed cross-GSTIN ₹50,000 transfer is blocked while that unpaid liability exists. The permitted amount is not ₹49,999 merely by subtraction; resolve the entry and recheck the gate.
Illustrative example 5: Separate eligible and excluded direct source heads
A transferor has CGST cash ₹70,000, IGST cash ₹30,000, SGST cash ₹1,00,000 and cess cash ₹25,000. Assuming no unpaid liability and all other controls met, CGST/IGST provide ₹1,00,000 of direct cross-GSTIN source capacity. The ₹1,25,000 in SGST/cess is outside that direct route. Aggregate cash of ₹2,25,000 is not direct transfer capacity.
Illustrative example 6: Cash is not input tax credit
The transferor has ₹20,000 electronic cash and ₹80,000 electronic credit. PMT-09 can address only the ₹20,000 cash, subject to the selected route’s controls. It cannot transfer ₹1,00,000 by combining the two ledgers.
Illustrative example 7: Positioning funds does not offset the return
A recipient has a ₹60,000 tax liability and receives ₹60,000 under an otherwise valid PMT-09. Before a separate payment debit, the unpaid liability is still ₹60,000. After an appropriate ₹60,000 offset, it becomes nil. Retain both the transfer acknowledgement and the payment entry.
Ten-step verification table
| Step | Verification | Evidence to retain |
|---|---|---|
| 1 | Classify the intended correction | Own-GSTIN or different-GSTIN purpose note |
| 2 | Identify the actual ledger | Cash-ledger export distinct from credit ledger |
| 3 | Check current source availability | Major/minor-head balance after earlier debits |
| 4 | Verify the recipient registration | GSTIN, PAN and registration-status evidence |
| 5 | Check source and destination head eligibility | CGST/IGST restriction for the direct cross-GSTIN route |
| 6 | Review transferor unpaid liabilities | Current electronic liability register and reconciliations |
| 7 | Review each transfer line and preview | Approved amount and before/after balance schedule |
| 8 | Complete signatory filing | ARN and filed PMT-09 |
| 9 | Verify both actual ledgers | Matching source debit and destination credit |
| 10 | Complete and reconcile the intended payment | Separate offset, liability register and accounting entries |
Sixteen practitioner FAQs
1. Can PMT-09 transfer ITC?
No. It moves electronic cash-ledger balances. The credit ledger is governed by other provisions and mechanisms.
2. Can the destination be a different legal entity with common directors?
Not under the same-PAN distinct-person route unless the actual statutory and PAN conditions are met. Common management does not establish a common PAN.
3. Can CGST cash move to SGST cash within one GSTIN?
The official manual provides inter-head cash transfers within a registration. Do not confuse this with the prohibited CGST-credit-to-SGST utilisation route.
4. Can SGST cash be directly sent to another GSTIN through this facility?
The cross-GSTIN form instructions and manual specify CGST/IGST source and destination heads. Do not describe direct SGST transfers as supported.
5. Can CGST cash go to IGST cash of the same-PAN recipient?
That combination falls within the stated CGST/IGST cross-GSTIN route, subject to available funds, no unpaid transferor liability and the other controls.
6. Does a ₹1 unpaid liability matter?
Yes. The proviso uses any unpaid liability in the transferor’s electronic liability register, not a materiality threshold.
7. Can we simply deduct unpaid dues and transfer the balance?
No. The cross-GSTIN gate requires the unpaid liability condition to be satisfied. A net-surplus calculation does not remove that condition.
8. What if the source challan is larger than the balance displayed?
Use the live available cash balance. Earlier debits, offsets or transfers may have consumed part of the original deposit.
9. Is the transfer a bank refund?
No. Although section 49 uses a deemed-refund description for the source ledger, PMT-09 moves ledger amounts rather than paying the taxpayer’s bank account.
10. Is an ARN evidence that the tax liability was paid?
It evidences the filed transfer. Verify a separate payment debit and corresponding liability reduction for actual settlement.
11. Can we select an inactive recipient without investigation?
No. The GSTN manual describes an inactive-GSTIN warning. Confirm the registration’s status and the facility’s applicable controls before proceeding.
12. Are minor heads relevant?
Yes. Tax, interest, penalty, fee and others are separate minor heads. Match both major and minor destinations to the intended use.
13. Is an internal branch journal sufficient?
No. Reconcile accounting entries with the actual portal source debit and recipient credit.
14. Does the same-PAN route require the recipient to be in another State?
Do not use State difference as a substitute for the distinct-registration and same-PAN tests. Identify the actual GSTINs and applicable section 25 status.
15. Can a draft preview be treated as a completed transfer?
No. Complete verification and filing, retain the acknowledgement and confirm the actual updated ledger entries.
16. What should be checked before the return due date?
Confirm funds have reached the correct head and registration, then complete the separate offset on time. A pending transfer is not a payment extension.
Conclusion
Choose the correct PMT-09 route, apply its head and liability controls, and reconcile both ledger entries before separately settling the intended liability.