GSTN Issues a New Advisory for Taxpayers: Timely Filing of GST Returns

GSTN Issues a New Advisory for Taxpayers: Timely Filing of GST Returns

On May 4, 2023, the Goods and Services Tax Network (GSTN) issued a crucial advisory emphasizing the significance of timely filing of GST returns for taxpayers. To simplify taxation procedures in India, adhering to the prescribed deadlines for filing returns is of utmost importance. In this blog post, we will delve into the details of the advisory and its implications for taxpayers.

Importance of Timely Filing:

Filing GST returns within the designated timelines is not only a legal requirement but also a key responsibility for businesses. Timely filing ensures accurate record-keeping, facilitates compliance with tax regulations, and promotes transparency in the tax system. It allows for proper reconciliation of input tax credits and ensures smooth business operations. Additionally, prompt filing helps taxpayers avoid penalties, interest charges, and potential legal consequences arising from non-compliance.

Also read; GSTN Announced A 3-Month Delay In E-Invoice Reporting

Key Points from the Advisory:

Filing NIL Returns and Returns Without Cash Tax Payments:

On April 20, 2023, over 45% of the returns submitted were either NIL filings (no tax liability and no Input Tax Credit (ITC) availment) or returns in which no tax was paid in cash. Taxpayers are recommended to file these sorts of taxes as soon as possible, as they can be filed sooner. Additionally, taxpayers can use SMS filing for NIL returns, which is a faster and more comfortable way that will also assist minimize the backlog on the GST system.

Adopting a Month-By-Month Filing Discipline:

On the due day of filing, certain taxpayers have been witnessed uploading a significant number of invoices (up to 27 lakhs) from earlier periods in a single GSTR-1. Taxpayers are recommended to follow a month-by-month filing schedule for all Business-to-Business (B2B) bills for the month and to avoid reporting invoices from previous periods all at once. This strategy may help to avoid a negative influence on the GST system's waiting time.

Deadline Awareness:

The advisory emphasizes the need for taxpayers to be well-informed about the due dates for filing various GST returns. It provides comprehensive information regarding the different types of returns, their respective due dates, and the frequency of filing (monthly, quarterly, or annually). Taxpayers are urged to review and familiarize themselves with the deadlines applicable to their business category.

Leveraging Automation:

GSTN highlights the availability of tools and technologies that assist in the auto-population of returns. These features streamline the filing process, minimize errors, and improve efficiency. Taxpayers are encouraged to make use of these tools to ensure the accuracy of the data entered into the returns.

Preparedness for Technical Issues:

The advisory acknowledges that occasional technical glitches or network issues may arise during the filing process. To mitigate such challenges, taxpayers are advised to avoid waiting until the last moment to file their returns. Early preparation and submission allow for sufficient time to address any potential system-related problems, reducing the risk of missing deadlines.

Significance of Compliance Rating:

The advisory highlights the importance of maintaining a good compliance rating. Timely filing of returns positively impacts a taxpayer's compliance score, which can have long-term benefits. A high compliance rating enhances business credibility, simplifies procedures related to e-way bills, and reduces the likelihood of being selected for scrutiny.


The recent advisory issued by GSTN on May 4, 2023, serves as a reminder to taxpayers regarding the crucial aspect of filing GST returns within the prescribed timelines. Timely compliance is essential for accurate record-keeping, smooth business operations, and overall integrity of the GST system. By adhering to the advisory's recommendations, taxpayers can avoid penalties, optimize input tax credit, and foster a positive compliance rating. This, in turn, contributes to a more favorable business environment in India. Stay informed, prepare in advance, and ensure the timely filing of your GST returns to stay compliant and reap the associated benefits.

The Advisory can be accessed at:


BY: Admin Tax4wealth

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