The GST department has barred taxpayers from filing GST returns after expiry of a three-year period from due date of furnishing the said return. The changes, applicable for GSTR-1, GSTR 3B, GSTR-4, GSTR-5, GSTR-5A, GSTR-6, GSTR 7, GSTR 8 and GSTR 9, are going to be implemented in the GST portal from early 2025.

The department has, therefore, advised the taxpayers to reconcile their records and file their GST Returns as soon as possible if not filed till now. The rule change was brought under the Finance Act, 2023, and is effective from 1 October 2023.

According to tax experts, the move aligns with a broader intent to ensure timely compliance, enhance data reliability, and potentially reduce the backlog of unfiled returns within the GST system.

“By capping the period for delayed filings, taxpayers are motivated to reconcile and rectify their records promptly. However, it may also create challenges for taxpayers with historically unfiled returns, especially those facing administrative or logistical constraints in consolidating older records,” says Rajat Mohan, Senior Partner, AMRG & Associates.