The GSTR 1 form is a form for normal taxpayers who must provide information on the outward supply on the 11th of each month if their yearly revenue exceeds 1.5 crores. Taxpayers earning less than 1.5 crores will be needed to file quarterly returns.

We will look at how to file the GSTR-1 form since, according to the laws and regulations, every registered taxpayer must provide the entire sales information, i.e. outward supplies, in the GSTR-1 form. Regular taxpayers must file the GSTR-1 form within 11 days after the end of the preceding month.

Advisory on the sequential filing of GSTR-1

The Goods and Services Tax Network ("GSTN") released an advisory on the GST Portal on October 21, 2022, regarding the sequential filing of GSTR-1 and the submission of GSTR-1 before GSTR-3B.

The Central Government revised Sections 37 and 39 of the Central Goods & Services Tax Act (CGST), 2017, with effect from October 1, 2022, by Notification No. 18/2022-Central Tax dated September 28, 2022. According to section 37(4) of the CGST Act, a taxpayer may not file GSTR-1 if a prior GSTR-1 has not been filed, and a taxpayer may not file GSTR-3B if a previous GSTR-1 for the same tax period has not been filed.

Section 37(4) & 39(10) of Central Goods & Service Tax Act, 2017

Section 37(4) 

A registered individual shall not be permitted to supply the information of outward supplies under sub-section (1) for a certain tax period if he has not given the details of external supplies for any of the prior tax periods:

Section 39(10) 

A registered individual shall not be permitted to supply a return for a tax period if he has not provided a return for any of the old tax periods or the information of outward supplies under sub-section (1) of sec 37 for the concerned tax period:

These modifications are being introduced gradually and will be available on the GST Portal on November 1, 2022. As a result, beginning with the October 2022 tax period, filing the prior period GSTR-1 will be required before filing the current period GSTR-1.

For example, filing GSTR-1 for the October 2022 period will be required before filing GSTR-1 for the November 2022 period.
 

GSTN Form GSTR-1 and IFF Improvements

The revised and improved form of GSTR-1/IFF has been made accessible on the GST portal to correct the assessee's experience. In addition, the surge would allow for the effective and user-friendly storage of GSTR-1 information on the GST site. The additional enhancements will be implemented slowly and on a regular basis. The adjustments will be implemented in two ways to ensure that any disruption to taxpayers is minimised and that the effective input collected is accounted for in the following step. The advice covers the adjustments made in Phase 1, and an advisory on Phase 2 reforms will follow.

GSTR 1 Quarterly Filing Without IFF Filing

In its 42nd meeting on 5th October 2020, the GST Council proposed a plan of quarterly return filing and monthly tax payment (QRMP scheme) for taxpayers with an average turnover of up to Rs.5 crores. For example, a registered individual who intends to claim coverage for the quarter 'Of July to September' can use this option between May 1st and July 31st. Despite the fact that an enrolled individual is not required to practise the choice every quarter.

The invoice furnishing facility or IFF allows quarterly GSTR-1 filers to input invoices for each month. A quarterly GSTR-1 filer is a small assessee with a Rs 1.5 crore revenue. The policy requires the supplier who chooses the insurance to submit the GSTR-1 on a quarterly basis. The supplier can choose to upload his chosen B2B invoices to a newly launched platform on the GST server or invoice Furnishing Facility during the first two months of the quarter. Furthermore, information already filed in the aforesaid facility during the first two months is optional to be reported again in Form GSTR-1. The average limit for invoices uploaded to IFF on a monthly basis is Rs 50 lakhs, which will not be exceeded. The plan will go into effect in January 2021.

CBIC Department Provides NIL GSTR 1 Statement Filing

The CBIC department has finally provided considerable assistance to all taxpayers by allowing them to file GSTR 1 form NIL statements by SMS from July 1st week 2020.

Updates on the 39th GST Council Meeting

• GSTR 1 filing is waived for taxpayers who were unable to accept the GST composition scheme under Notification No. 2/2019-Central Tax (Rate) dated 07.03.2019 by submitting FORM CMP-02.
• GSTR 1 due dates have been extended for the Union territory of Ladakh from July 2019 to January 2020 to March 24, 2020.
• The GSTR 1 old return filing mechanism has been extended for all taxpayers until September 2020.

Highlights of the GSTR-1 Return Form

• All registered taxpayers must complete Form GSTR-1 to fill out outward supply data of business, regardless of whether the transaction occurred within the month.
• It must be completed by the 11th of the month after the return is due.
• The invoice details must be entered into the required fields.
• Goods to an unregistered person, registered person, exemptions and exports, received advances, and non-GST supplies are all examples of outward supplies.

GST Late Payment Interest Missing GST & Tax Penalty for Return Due Date

According to the GST council rules and regulations, continuing late payment of taxes would attract 18% per annum interest on the GST tax applicable only after the start of the due date until the taxes are owed to the government.
According to the law, if a taxpayer misses any of the GST tax payment deadlines, interest would be calculated from the due date, i.e. 1000*18/100*1/365= Rs. 0.49 per day.

In various situations, if a taxpayer fails to file their return within the specified due dates specified by the government authorities, he is obligated to pay a late fee of Rs. 50 per day, i.e. Rs. 25/day in each CGST & SGST (in case of any tax liability) & Rs. 20/day, i.e. Rs. 10/- day in each CGST and SGST, subject to a maximum of Rs. 5000.
 

Latest Amendments in 2022 in GSTR- 1 Form

November 8, 2022

A division bench of the Telangana HC denied a plea seeking rectification of the GSTR-1 based on the Supreme Court's judgement in Bharti Airtel.

November 4, 2022

Sections 37(4) and 39(10) of the CGST Act 2017 require GSTR-1 submission before submitting GSTR-3B.

October 22nd, 2022

The CBIC has mandated the inclusion of HSN codes in GSTR-1.  

October 21, 2022

To be in compliance with the laws, the GST Portal needs GSTR-1 to be filed before GSTR-3B.  

August 3, 2022

With a single NIL filing option, the GSTN department has enhanced the user experience & performance of GSTR-1/IFF filing. 
 
July 21th, 2022

The GST GSTR-1 return form must include a mandatory declaration of HSN codes. These improvements are being introduced in stages on the government portal. 

July 7th, 2022

It is important to provide correct information concerning interstate shipments. Ineligible/blocked Input Tax Credits and the reversal of such credits in return The GSTR-3B form and the GSTR-1 form must be completed.

June 1st, 2022

For composition taxpayers, the GST network department has incorporated an online new 6% rate in HSN Table 12 of the GSTR 1 return form. 

15th of March, 2022

"GSTN new forthcoming taxpayer features in GSTR-1/IFF."

February 23, 2022

"The GSTIN will be enhanced and improved in the GSTR-1 form and the IFF." It will be available to taxpayers via the GST Portal shortly."

January 4, 2022

"CBIC has added a new feature to the portal." This is connected to rule-59(6), which will first review the GSTR 3B filing before allowing you to file the GSTR 1 return for the previous month."

Conclusion

The Centre issued Notification No. 18/2022 on September 28, 2022, to modify the Central Goods and Services Tax Act (Central GST), 2017, to interlink GST return filing.

The GST portal emphasised that these modifications would be applied prospectively and would be available on the portal from November 1, 2022. As a result, beginning in October 2022, filing the prior period GSTR-1 will be required before reporting the current period GSTR-1. For example, in order to file the November 2022 GSTR-1, you must first file the October 2022 GSTR-1.