GSTN has made an important change regarding compliance. Under this change, there is a ban on filing GST returns after the deadline of three years.
There are changes in the rules regarding GST returns from the beginning of next year. Under this, from the beginning of 2025, GST taxpayers will not be able to file monthly and annual GST returns after three years from the due date of filing the return. The Goods and Services Tax Network (GSTN) said this in a consultation on Tuesday. It said that apart from GST sales returns, the new rule will apply to returns related to payment of liability, annual returns and tax collection at source. That is, there will be a ban on filing returns after the expiry of a period of three years from the due date of submission of returns.
Will not be able to file returns after the limit of 3 years
GSTN said, “The said change is going to be implemented in the GST portal from the beginning of next year (2025). Therefore, taxpayers are advised to match their records and if they have not yet filed GST returns, they should do so as soon as possible. AMRG & Associates Senior Partner Rajat Mohan said that GSTN has made an important change regarding compliance. Under this change, there is a ban on filing GST returns after the deadline of three years. He said, “This step is aimed at ensuring timely compliance, increasing the reliability of data and potentially reducing the ‘backlog’ of unfiled returns within the GST system. Limiting the period in case of late filing of returns has motivated taxpayers to match and correct their records.”
These people will face problems
Mohan said, “However, this can also create challenges for those taxpayers who have not filed returns. Especially for those taxpayers who are facing administrative or logistical problems in consolidating old records.” He said companies are advised to proactively audit their return filings and resolve pending returns, if any, within the remaining period.
