GST Return Filing Demystified: The Procedure, Rules And The Benefits


    The government has moved to a unified taxation system with Goods and Services Tax, or GST. If your business crosses the threshold limit set by the government for your industry, you need to get a GST registration. As a registered user, you need to file returns even when you do not pay taxes.

    GST Return File Taxation 

    As a registered dealer, you need to file your GST return for the following:

    • Sales
    • Purchases
    • ITC for purchases
    • Output GST for sales

    Procedure To File GST Returns 

    Everyone doing business or trade with another has to file a tax return to the GST department. As India has become digital, the process is mostly automated.

    Before filing a return form, you must have a GSTIN. You can obtain it by completing your gst registration online.

    Steps For Receiving a GSTIN 

    1. Open the GST portal and apply for new registration.
    2. Enter your PAN details, state of residence, phone number, and email address.
    3. Verify with dual OTP and receive a temporary reference number. Use it to log in to the portal.
    4. Fill up your business details and stakeholder information.
    5. If you are responsible for filing the GST, enter your name as the authorized signatory.
    6. Fill up the main building address of your company and other business addresses.
    7. List your product and service codes.
    8. Submit the bank account details.
    9. Verify your application and sign it digitally and get your ARN.
    10. After a week, you will receive your 15-digit GSTIN.

    Once your gst search is complete, you become eligible to file GST Returns.

    How To File GST Return With GSTIN 

    Now that you have your GSTIN, you can log in with the existing GSTIN allotted to you. The following steps will help you file a GST return form:

    1. After logging in with your GSTIN, you can upload invoices through the GST portal. You will receive invoice reference numbers for each.
    2. Separate the outward, inward, and monthly cumulative returns, and file them online. Recheck and edit mistakes.
    3. You need to fill the outward supply in GSTR-1.
    4. You will receive a GSTR-2A form highlighting your inward purchase, which is self-generated from the GSTR-1 form of the suppliers.
    5. Now resolve the discrepancies in the form by tallying it with your inward purchases, debit notes, credit notes, and any RCM bills. The final product will become GSTR-2, which will go back to the supplier for verification.
    6. The supplier will receive a GSTR-1A form, which s/he can either accept or reject. This form is the same GSTR-2 form after your correction.
    7. GSTR- 3 will be automatically generated from GSTR-1 and GSTR-2, and you need to submit it with taxes.

    Rules For Filing GST Returns 

    • GSTR-1 needs to be filed for outward returns by the 10th of the subsequent month.
    • GSTR-2 is filed for inward purchases within the 15th of the following month.
    • GSTR-3 is the monthly return within the 20th of the following month containing inward and outward returns with tax payment.
    • If you are a Composition supplier, you need to file GSTR-4 within the 18th of the month in the next quarter.
    • If you are a taxable NRI, you need to file GSTR-5 within the 20th of the following month.
    • You need to file your return using GSTR-6 if you are an input service distributor.
    • TDS collection authorities need to file their returns using GSTR-7 by the 10th of the next month.
    • GSTR-9 is an annual tax that needs to file on 31st December of the next fiscal year.
    • If your registration is cancelled, you need to file GSTR-10 within three months of cancellation.
    • You need to file the details of your inward supplies by 28th of the month successive to the return you filed to claim a refund with UIN.
    • There are penalties if you do not file your returns. A null return should be filed if you do not have any returns.

    Benefits Of GST Returns 

    There are many advantages of filing GST returns against the previous multi-taxation system.

    • There is no tax cascading.
    • The threshold for GST registration is higher than all the taxes combined in the earlier system
    • Small businesses can apply for composition scheme to reduce taxes.
    • Filing of taxes is easy and online.
    • There is just one tax you need to pay.
    • There is no ambiguity with e-commerce operator taxation.
    • Logistics have improved under GST.

    Hence, GST return filing has changed the mode of taxation for the better.


    GST has united India with an unbiased, unambiguous, and inclusive tax return filing system. It is beneficial for the improvement of both the businesses and the economy with enhanced logistics.