What is GST Return Filing?

A GST return is a document that contains details of your income, sales, expenses, and purchases, which are required to calculate tax liability. Registered businesses under GST must file returns regularly to maintain compliance with GST laws.

Types of GST Returns

  • GSTR-1 (Monthly/Quarterly):
    • Who files it? Registered dealers, including casual and non-resident taxable persons.
    • What does it include? Outward supplies of goods or services (Sales).
    • Frequency: Monthly (for businesses with turnover > ₹5 crores) or Quarterly (for businesses with turnover < ₹5 crores).
  • GSTR-3B (Monthly):
    • Who files it? All regular registered taxpayers.
    • What does it include? Summary return of all outward and inward supplies and the tax liability for the period.
    • Frequency: Monthly.
  • GSTR-4 (Annual for Composition Scheme):
    • Who files it? Composition scheme taxpayers.
    • What does it include? Summary of the total turnover in a financial year and details of taxes paid.
    • Frequency: Annually.
  • GSTR-9 (Annual):
    • Who files it? Regular taxpayers.
    • What does it include? Consolidated details of all transactions for the financial year.
    • Frequency: Annually.
  • GSTR-9C (Reconciliation Statement):
    • Who files it? Taxpayers with an annual turnover of more than ₹2 crores.
    • What does it include? A reconciliation statement between the audited financial statement and the GSTR-9.
  • GSTR-10 (Final Return):
    • Who files it? Taxpayers whose GST registration has been canceled or surrendered.
    • What does it include? Final settlement of tax liabilities and stocks.
    • Frequency: Once, upon cancellation.

Steps to File GST Returns

  • Login to GST Portal: Using your GSTIN and password.
  • Select the Return Type: Based on your business type and turnover, select the relevant return (GSTR-1, GSTR-3B, etc.).
  • Prepare the Return: Input details of outward and inward supplies, tax liabilities, input tax credits, and any other required information.
  • Upload Documents: Upload relevant invoices and supporting documents if required.
  • Submit the Return: Review the return for accuracy and then submit it.
  • Pay Tax Liability (if any): Make the necessary payment through online banking or other approved modes.
  • Download Acknowledgment: After successful submission, download the acknowledgment as proof of filing.

Key Deadlines

  • GSTR-1 (Monthly): 11th of the following month.
  • GSTR-3B (Monthly): 20th of the following month.
  • Annual Returns (GSTR-9 and GSTR-9C): 31st December of the next financial year.

Consequences of Late Filing

  • Late Fee: ₹50 per day for late filing of GSTR-1 and GSTR-3B (₹20 per day for NIL returns).
  • Interest: 18% per annum on the amount of outstanding tax liability.

Timely filing of GST returns is crucial to avoid penalties and maintain smooth business operations.