The GST Annual Return is a mandatory filing under the Goods and Services Tax (GST) regime in India, consolidating details of all supplies, purchases, and adjustments made during the financial year. This return ensures reconciliation between the financial statements of taxpayers and their GST filings, ensuring compliance with tax regulations.
The following registered taxpayers are required to file an annual return:
• Regular Taxpayers (excluding composition scheme taxpayers, casual taxpayers, input service distributors, non-resident taxpayers, and those liable for TDS/TCS under GST)
• Composition Scheme Taxpayers (via GSTR-9A)
• E-commerce Operators (via GSTR-9B)
• Taxpayers Requiring Audit (via GSTR-9C, applicable for businesses with turnover exceeding INR 5 crore)
The following entities are exempt from filing the GST Annual Return:
• Casual taxpayers
• Input service distributors
• Non-resident taxpayers
• Entities liable under TDS/TCS provisions of GST
• Small taxpayers with turnover below INR 2 crore (optional filing for specific financial years)
This form consolidates all outward and inward supplies, tax paid, and adjustments made during the financial year.
Applicable for businesses under the composition scheme, summarizing tax liability under simplified GST rates.
Filed by e-commerce operators collecting tax at source (TCS) under Section 52 of the GST Act.
Taxpayers with an aggregate turnover exceeding INR 5 crore must file GSTR-9C, which includes a reconciliation statement between audited financial statements and GST returns.
The due date for filing the GST Annual Return is 31st December following the end of the financial year.
Late Filing Penalties
• Rs. 200 per day (Rs. 100 each under CGST & SGST)
• Maximum penalty: 0.25% of turnover
• No late fees for IGST (as per current provisions)
For businesses operating in multiple states, separate GST registrations are required for each state. In such cases:
• The Annual Return must be filed separately for each state/UT where registration is held.
• The turnover, tax liability, and ITC must be segregated on a state-wise basis before filing.
• The total consolidated turnover in all states should reconcile with the audited financial statements.
• Any discrepancies must be resolved at the state level.
Discrepancies between GST returns and financial statements must be resolved before filing. If additional tax payment is required, it can be paid through DRC-03 Challan before submission.
a. Login to GST Portal – Go to www.gst.gov.in
b. Select Annual Return – Choose the relevant financial year and form type.
c. Verify Auto-Populated Data – Cross-check details with financial statements.
d. Make Necessary Adjustments – Include missing transactions or rectify errors.
e. Pay Additional Tax, if required – Use DRC-03 challan for tax discrepancies.
f. Submit and File – Once verified, file the return using DSC/EVC.
• Mismatch between GSTR-1, GSTR-3B, and financial statements
• Errors in ITC claim reconciliation with GSTR-2A/2B
• Non-reporting of amendments made through credit/debit notes
• Late filing penalties impacting compliance rating
Filing the GST Annual Return is crucial for businesses to ensure compliance and avoid penalties. Proper record-keeping and reconciliation can simplify the process. Businesses with multiple state registrations must ensure state-wise compliance while maintaining consistency with audited financials.
For expert assistance with GST compliance, visit ReturnFilings.com to streamline your tax filing process, reach out to us on email: info@returnfilings.com or on whatsapp: https://wa.me/919910123091.
