How does GST return filing work in India?

## GST Return Filing in India — Complete Guide

### The GST Return Ecosystem

GST filing in India involves multiple interconnected returns. The most important are:

| Return | What it covers | Who files | Due date | |--------|---------------|-----------|----------| | GSTR-1 | Outward (sales) supplies invoice-level | All regular taxpayers | 11th of following month (monthly) / 13th quarterly | | GSTR-3B | Monthly summary + tax payment | All regular taxpayers | 20th of following month (large) / 22nd-24th (small) | | GSTR-9 | Annual return (summary of all monthly filings) | All regular taxpayers | 31 December of following year | | GSTR-9C | Reconciliation statement (CA/self-certified) | Turnover above INR 5 crore | Same as GSTR-9 | | GSTR-4 | Annual return for Composition dealers | Composition scheme taxpayers | 30 April of following year | | GSTR-2B | Auto-populated ITC statement | Read-only, auto-generated | 14th of following month |

### GSTR-1 — Invoice-Level Sales Return

GSTR-1 is the detailed return of all outward supplies (sales and service invoices) made during the month. Key sections:

Table 4A/4B/4C: B2B invoices (with customer GSTIN), B2BA amendments Table 5: B2C large supplies (above INR 2.5 lakh, state-wise breakup) Table 6: Zero-rated exports (with/without payment of IGST) Table 7: B2C other (small, aggregate turnover below INR 2.5 lakh, state-wise) Table 8: Nil-rated and exempt supplies Table 9 and 10: Credit notes and debit notes Table 11: Advance receipts and tax on advance (for goods, not services) Table 12: HSN-wise summary (mandatory: 6 digits above INR 5 crore; 4 digits INR 1.5-5 crore)

### E-Invoicing (Mandatory Above INR 5 Crore)

From August 2023, businesses with aggregate turnover above INR 5 crore (from any year from FY 2017-18 onwards) must generate an Invoice Reference Number (IRN) for every B2B invoice, credit note, and debit note through the Invoice Registration Portal (IRP) before issuing it to the buyer.

Process: 1. Prepare invoice in ERP/accounting software 2. Submit JSON to IRP (https://einvoice1.gst.gov.in or API) 3. Receive IRN and signed JSON from IRP 4. Print IRN and QR code on the invoice 5. Invoice data auto-populates GSTR-1

### GSTR-3B — Monthly Summary Return

GSTR-3B is the monthly summary return where the net GST liability is declared and paid. Unlike GSTR-1, it does not have invoice-level detail — only aggregated figures.

Key tables: - Table 3.1: Outward taxable supplies (taxable, nil-rated, exempted, zero-rated, non-GST) - Table 3.2: Inter-state supplies to unregistered, composition, and UIN holders - Table 4: Eligible ITC claimed, ITC reversed, and net ITC - Table 5: Exempt, nil-rated, non-GST supply values - Table 6: Tax payable and paid by cash and ITC

### ITC (Input Tax Credit) — The Reconciliation Challenge

Input tax credit on purchases can only be claimed if: 1. The purchase invoice appears in GSTR-2B (auto-populated from supplier's GSTR-1) 2. The goods/services are received by you 3. The supplier has filed their GSTR-1 and GSTR-3B 4. The invoice is not more than 2 years old

If a supplier does not file GSTR-1, their buyers cannot claim ITC on invoices issued by them. This creates a strong commercial incentive for timely supplier filing — non-filing suppliers face pressure from buyers.

### QRMP Scheme for Small Businesses

Businesses with turnover below INR 5 crore can opt for the Quarterly Return Monthly Payment (QRMP) scheme: - File GSTR-1 quarterly (instead of monthly) - Use Invoice Filing Facility (IFF) to upload critical B2B invoices in months 1 and 2 of the quarter (enabling buyer ITC) - Pay monthly fixed amount via PMT-06 challan in months 1 and 2 - File GSTR-3B quarterly with final reconciliation

### Annual GSTR-9 Return

The annual GST return consolidates all 12 months of GSTR-1 and GSTR-3B data. Due by 31 December following the financial year end. Reconciles: - Outward supplies declared in monthly returns vs annual total - ITC claimed vs eligible ITC - Tax paid monthly vs actual annual liability

For businesses above INR 5 crore: GSTR-9C is a reconciliation statement that reconciles GST filings with the audited financial statements. From FY 2021-22, GSTR-9C can be self-certified (CA certification not mandatory for companies below INR 5 crore threshold).