GSTR-1 – Return Filing, Format, Eligibility & Rules

GSTR 1 is quarterly or monthly return that contains details of outward supplies of a taxpayer. It includes all the details regarding debit notes, credit notes, revised invoices and invoices related to supplies. This is filed by every registered business who has GST registration. It is a type of return that shows all the sales related transactions of a business. This return has 13 sections in total. Well this return was valid only till September 2019. This can be replaced by GST ANX-1 with effect from 1st October 2019. It is an option for taxpayers and not mandatory. In this article you can get complete information regarding GSTR 1.

Latest News:

File your all pending GSTR 1 till 10th January!! Non Filing of GSTR 1 till 10th January 2020 will attract a late fee of Rs 50/- per day upto the maximum of Rs 10,000.

Who is required to file GSTR-1?

GSTR 1 should be filed by every registered person who is involved in a business. Whether there are transactions during a month or not, but the assessee is required to file GSTR 1 monthly or quarterly as per the norms.

Some of the registered entities who are exempt from filing this return are as follows:

  • Composition dealers
  • Non-resident taxable person
  • Input service distributors
  • Taxpayer liable to deduct tax deduction at source
  • Supplier of Online Information and Database Access or Retrieval Services (OIDAR) who have to pay tax themselves
  • Taxpayer liable to collect TCS

Procedure to submit the details by different taxpayers

The details in this return shall be furnished by common portal electronically under section 37. Procedures for different category of taxpayers are:

  • For OIDAR GSTR 1 is not required.
  • In case of inter state and intra state supplies to registered person the details of B2B transactions that is invoice wise details should be mentioned.
  • For inter state supplies to unregistered person whose invoice value is more than 2.5 lakh the details should be furnished invoice wise.
  • For inter state supplies to unregistered person whose invoice value is less than 2.5 lakh the details should be furnished state wise with state codes( B2C inter state transactions).
  • In case of intra state supplies to unregistered person consolidated details that is B2C intra state transactions shall be furnished.

Contents to be furnished in GSTR 1

There are 13 tables that are to be filled in this return with the following details:

  • Table 1, Table 2, Table 3 This includes the preliminary information such as legal name, GSTIN, aggregate turnover and so on for the financial year. This will mostly be auto generated.
  • Table 4 It includes details of B2B supplies that is invoice wise details of outward supplies made to registered person.
  • Table 5 It includes B2C supplies above value of 2.5 lakh that is invoices of inter state supplies to unregistered person.
  • Table 6 It includes invoice wise details of Zero rated supplies of exports, deemed exports, supplies to SEZ and SEZ developer.
  • Table 7 It includes B2C supplies below value of 2.5 lakh that is taxable supplies to unregistered person.
  • Table 8 Nil rated supplies: where GST rate is nil as stated by GST tariff itself Exempted supplies: includes non taxable supply with exempted notification (For example agricultural products are exempt) Non GST supplies: supply of products which are out of GST such as petroleum products and alcoholic liquor.
  • Table 9 Includes all amendments in B2B transactions mentioned in table 4,5 and 6.
  • Table 10 Includes all amendments in B2C transactions mentioned in table 7.
  • Table 11 part (1) Consolidation of advance received or adjusted in current period
  • Table 11 part (2) Any amendment of details in Table 11 part (1) of earlier period.
  • Table 12 Summary of outward supply HSN wise.
    1. HSN code required for turnover above Rs.1.5 crore
    2. Description of goods can be given in place of HSN code for turnover below Rs.1.5 crore
  • Table 13 All the documents issued during the tax period are to be submitted such as credit note, debit note, invoices, revised voucher, refund voucher, payment voucher, delivery challan.

Due date of filing GSTR-1

The due dates of GSTR 1 depends on the turnover of the business.

  • Business organizations with sales of above Rs. 1.5 crore have to file monthly return.

    The last date of filing GSTR 1 for the monthly return are as follows:

    Period (monthly) Due dates 
    January 2019 11th February 2019
    February 2019 11th March 2019
    March 2019  11th April 2019
    April 2019 11th May2019
    May 2019 11th June2019
    June 2019 11th July2019
    July 2019 11th August2019
    August 2019 11th September2019
    September 2019 11th October 2019
  • Business organizations with sales of upto Rs. 1.5 crore have to file quarterly returns.

    The due dates of filing GSTR 1 for the quarterly return are as follows:

    Period (Quarterly) Due dates
    July – September 2018 31st October 2018
    October – December 2018 31st January 2019
    January – March 2019 30th April 2019
    April – June 2019 31st July 2019
    July – September 2019 31st October 2019

Extension of time limit

Furnishing such details in GSTR 1 can be extended. The Commissioner or Joint secretary in board can extend the time limit by issuing a notification to ensure uniformity all over India.

Commissioner or Joint secretary in board should notify if any extension is granted by the Commissioner of State Tax or Commissioner of Union territory Tax. Thus, Commissioner of State GST or UTGST can sufficiently grant extension.


Rectification or Revision of GSTR 1

GSTR 1 once filed cannot be rectified or revised. The only option for making any mistakes in this return is to rectify it in next period of return whether month or quarter.

For instance if a mistake is made in GSTR 1 of April, the rectification for it can be made in GSTR 1 of May( monthly GSTR 1).

If the details furnished by the taxpayer are unmatched from the original details for any tax period shall be rectified in the prescribed manner, and the person shall pay tax or interest if any.


What is the Penalty for late filing of GSTR 1?

Prior penalty for late filing was Rs 200 per day of delay.

  • Notification no. 4/2018-central tax states that :
    For a normal return For late filing of GSTR 1 the assessee has to pay late fees that is Rs. 50 per day.  For nil return The late fee has been reduced from Rs 50 to Rs 20 per day
    For intra state supplies  : This is bifurcated as
    •  Rs. 25 for CGST and 
    • Rs. 25 for SGST
     for the delay made. 
    This is bifurcated as
    • Rs 10 for CGST and
    • RS 10 for SGST
    for the delay made. 
    For inter state supplies  : It is Rs 50 for ISGT for the delay made.  Not applicable
    Note:  CGST -Central Goods and Services Tax.
    SGST -State Goods and Service Tax.
    IGST - Integrated Goods and Services Tax.
  • Notification no. 75/2018-central tax states that:

    Late fee shall be waived for all taxpayers in case they fail to furnish Form GSTR 1 for the months or quarters July 2017 to September 2018, and these details are furnished between the period of 22 December 2018 to 31 March 2019.

    Thus, the filing of Form GSTR-1 has not attracted any late fee penalty form small business man until 31st March 2019.

  • Notification no. 41/2019-central tax states that:

    Late fees for GSTR 1 is waived off completely for taxpayers in various districts of the flood-affected States and all districts of J&K.

  • The maximum limit of late fees is still Rs 10,000 per return.


How and where to file GSTR 1?

GSTR 1 is to be filed on GST portal.

To file return GSTR 1 the assessee needs to follow few steps. They are as follows:

  • The taxpayer needs to login to the GSTN portal with him or her user ID password.
  • Search for services and click on returns and then on Returns dashboard.
  • Here you have to enter details like financial year, relevant month for which return is to be filed.
  • Click on search and all the returns of the period will be visible.
  • Select GSTR 1
  • Select the option online or to upload the return as per your wish.
  • If selected online, add invoices or upload invoices.
    1. When all the details are filled, click on submit and validate.
    2. After validation of data, click on FILE GSTR 1.
    3. Proceed with E-Sign or digitally sign the form.
    4. Select the pop up that will be displayed with a yes or no to file the return.
    5. As you will select Yes an Acknowledgement Reference Number (ARN) will be generated.
  • If option of uploading the return is opted:One can upload invoices at regular intervals during the month for avoiding bulk upload at the time of filing of the return.

Important aspects to be noted

  • GSTR-1 is mandatory to be filed even if there is no business transaction or nil return
  • Filing of GSTR-1 for current month is only possible when GSTR-1 for the previous month has been filed.
  • The taxpayer who is opting for voluntary cancellation of GSTIN has to file GSTR-1 for active period
  • In cases where a taxpayer has been converted from a normal taxpayer to composition taxpayer, GSTR-1 will be available for filing only for the period during which the taxpayer was registered as normal taxpayer.

Conclusion

Every businessman big or small has to file return of GST. One of such forms is GSTR 1 that is to be filed by every business man who is registered for GST. The GSTR 1 is a mandatory document to be filed either monthly or quarterly. Even the business organizations with no sales have to file the GSTR 1. This form basically includes all the transactions that are outward i.e. sales, in an organization. However, GSTR 1 can be replaced with ANX 1 since 1st october 2019. This is an option and not mandatory.


Frequently Asked Questions

Q- Is it necessary to file GSTR 1 even if there is no sale?

Yes, GSTR 1 is a mandatory document to be filed by every businessman who is registered with GST.


Q- Is GSTR 1 is required after filing GSTR 3B?

No, any rectification cannot be done once GSTR 1 is filed. But if any mistake is to be rectified it is to be specified in the GSTR 1 of next month.
For example: For example: Mr. Karan has sold goods to Mr. Yash for INR 2,00,000 on 30th June 2018 and declared it in the GSTR-1 of July 2018. He realised that he had made a mistake in the date of invoice. The amended invoice can be shown in GSTR 1 of August 2018.


Q- If my sales are below Rs 1.5 crore, when will I file GSTR 1?

If your sales are below Rs. 1.5 Crore, you can file your GSTR 1 on quarterly basis.


Q- Can we file GSTR 1 before GSTR 3B?

GSTR 1 is normally filed before GSTR 3B because

  • The due date of furnishing GSTR 1 is the 11th of the following month and that of GSTR 3B is 20th.
  • GSTR 3B includes summary of GSTR 1.

Hence, as a professional practice GSTR1 is filed before GSTR 3B. except the quarterly filing of GSTR 1 (in case turnover does not exceed Rs 1.5 cr), we can always file GSTR 1 before GSTR 3b.


Q- When should I file GSTR 1?

Every registered dealer (having turnover above 1.5 cr) has to file GSTR 1 on or before the 11th of next month.


Q- What are the differences between GSTR 1 and GSTR 1A?

GSTR 1 is a detailed statement of sale transactions. The details of which will auto populate in GSTR 2 of related recipients.
If the other party makes any changes in GSTR 2 then the same will auto populate in GSTR 1A of the supplier which can be accepted or rejected.


Q- Is there a penalty for GSTR 1?

Yes, there is a penalty for late filing of GSTR 1. The penalty amounts is 50 rupees per day in general and 20 rupees in case of nil return .


Q- How can I rectify GSTR 1 after filing?

We can not revise GSTR 1 but we can rectify the details at the time of filing GSTR 1 of the next month.


Q- What are the consequences of filing GSTR 1 late?

In case of late filing of GSTR 1 , penalty will be leviable on the registered taxpayers.


CA Abhishek Soni

Abhishek Soni is a Chartered Accountant by profession & entrepreneur by passion. He is the co-founder & CEO of Tax2Win.in. Tax2win is amongst the top 25 emerging startups of Asia and authorized ERI by the Income Tax Department. In the past, he worked in EY and comes with wide industry experience from telecom, retail to manufacturing to entertainment where he has handled various national and international assignments.