Amendments and Revisions in GSTR-1

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Published Date:  03-02-2024   Author:   arghyadeep-bose
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The tax regime of India has been ever changing which has resulted in changing the rules and regulations of GSTR-1 continuously. It is essential to be updated with the amendments and revisions of GSTR-1 in order to be accurate and reduce errors while filing the GSTR-1. Therefore, this blog will assist you in learning the newer introductions and additions in GST, thereby assisting you to stay in touch with the new features, and enabling you to be more precise about filing the GSTR-1 return.

Latest amendments and revisions to GSTR-1

Amendments taken towards a deadline: The previous deadline for making any amendments in filing the GSTR-1 return was due in September. However, starting from November 2022, it has been changed to 30th November of the succeeding year. Therefore, it has provided the taxpayers more time to file the correct GSTR-1 return, thereby avoiding any kind of penalties. 

GSTR 3B must be filed before filing GSTR-1: Starting from 1st September 2021 tax years who haven’t filed the GSTR-3B will not be able to file the GSTR-1 or be able to use the Import of Invoices from File (IFF) feature during the period. Such changes have made the taxpayers submit the tax in detail before they could file the invoices in detail. 

Changes in regards to underreporting: Since 1st January 2020 GST officers have been able to start the process of recovering the tax who have yet to be able to equalise in GSTR-3B and GSTR-1 without issuance of a notice. This will enable the taxpayers from under reporting their sales to lower the tax expense. 

Some other changes: The presentation or layout of GSTR-1 has changed over time, thereby making it extremely friendly to the one who is filing the return. Therefore, the taxes are now being able to download the data of GSTR-1 for the financial years via the GST portal.

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Impact of changes on GSTR-1 filing procedures

The changes or amendments made in the GSTR-1 return filing have impacted the taxpayer to a large breadth, which has not only simplified their experience of filing tax as well as tightened up the compliance system of the government. 

The compliance in terms of filing the GSTR-1 return has improved. Since the tax payer has to file the GSTR-3B before filing the GSTR-1, therefore ensuring that firstly the taxpayer will have to declare the liability of tax before they have filled up the sales invoice, which lowers the chances of any kind of under-reporting. It has, therefore helped the government to recover the tax fully. Discouraging the taxpayers to under report their revenue has resulted in better and efficient tax collections. Any kind of changes in the deadline have resulted in helping the taxpayers to improve their filing experience, thereby complying with every rule and regulation. 

Since the government has simplified the layout of the GSTR-1 filing, therefore, more and more people are able to file the GSTR-1 return by themselves, thereby reducing the time and cost of hiring a tax professional. The introduction of the Importing Invoices from File (IFF) feature has enabled the register who files sales invoices quarterly to decrease the manual labour of data entry thereby saving a handful of time. Also, the ability to download the GSTR-1 return data easily has helped the tax players to keep records such that it has simplified the ease of the documentation process. 

Let us see what are some of the specific specific situations where the impact of amendments have affected the tax:

  • The businesses that have revenue transactions which are complex might find that revised deadline to be very beneficial towards improving the accuracy of data
  • Businesses that are smaller in size may also enjoy advantages from the format and layout of the GSTR-1 as well as from the feature of IFF. It will save time and effort for the taxpayers.
  • The government currently has multiple tools to identify under-reporting which has been beneficial in increasing the revenue from the tax.

Note: It is essential for the taxpayers to keep themselves updated on the changes in GSTR-1 filing procedures. They should consult tax professionals in case there are any questions in regard to the GSTR-1 filing. This will reduce the errors as well. The tools available for the filing of GST in its portal have been simplified, which has smoothened the process of GSTR-1 compliance. Although the changes in filing have reduced the burden on the taxpayers. However, it is important for taxpayers to be updated with the rules and regulations since they shoulder the responsibility of ensuring that the data provided is accurate. 

Adapting to the evolving GSTR-1 landscape

Since the GSTR-1 environment is so dynamic, therefore adopting to the evolving changes in GSTR-1 filing is essential. Here are some of the key ways by which taxpayers can easily adapt to the changes: 

You can easily subscribe to the official mandates provided by the government about GST notifications and updates. It will help them to stay updated on the changes in case of the rate of tax or any use regulations, thereby assuring that they have filed taxes correctly. Even also rely on blogs related to tax as well as websites since that is also to stay updated. Attending seminars regarding the filing of GSTR-1 returns can be beneficial as there could be practical demonstrations of the filing process, which could help you immensely. 

Technology is very important, and one needs to get accustomed to digitization and automation. Technology that encircles GSTR-1 filing in order to make sure that you are able to input data during the GST return filing, you should be able to use technology, technology and software, which is your process. Features like IFF should be used repeatedly in order to save time. Also one can use the Excel workbook to update the e-invoices, which will reduce the time consumption of filing the returns. 

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Every organisation must have an internal process which can easily detect any kind of errors during the internal workflow while filing the GST return. You can have a dedicated team who is responsible towards filing the GSTR one correctly, thereby minimising the chances of any kind of error. Regularly updating the data, as well as organising and monitoring the data, will seamlessly reduce the chances of error. Since details of data are extremely important, therefore, conduct internal audits about the data so that you can assist in the accuracy of the data itself. 

Compliance with the rules and regulations of filing tax is extremely necessary. Hence, be aware of any kind of changes that take place in filing the return for GSTR-1. Ensure that each and every employee and you are aware of the changes in the rules and regulations. Encourage employees to report any kind of issues that might crop up during the filing of the GST return. In order to improve compliance, ensure internal audits are being done continuously which will help in finding out the gaps of compliance, thereby improving accuracy and efficiency of filing tax. 

Finally, be proactive with the filing of GSTR-1 because if the deadline is skipped, you are subjected to fees and penalties. Also, you might be prosecuted in some situations. Hence, be prepared to file the tax way before it should be filed so that you have a holistic view of the detailed-oriented record of the GST filing. 

Tips to consider:

  • In order to record the invoices, you can use the digital repository. Use the excel workbook that is provided during the installation of the GST application. Using the application will reduce the time used to upload the data during GST filing.
  • You can backup your data regularly in terms of the GSTR-1 invoice.
  • There are several helplines that can assist you in filing the GST returns.
  • You can also network with other businesses and have a grasp of how they conduct best practices.

Ensuring ongoing compliance with revised GSTR-1 rules

Compliance with the revised GSTR-1 rules will minimise the chances of error. Hence, here are some of the primary steps that you can ensure to put into practice in order to comply with the new rules:

  • The rules and regulations of GSTR-1 are being updated via government portals and are being circulated via government-registered circulations, which thereby enables people to stay updated on the GST rules and regulations. Hence, you can subscribe to the government-regulated notification and circulars in order to stay updated.
  • Be familiar with the new format as well as the tables 14 and 15 for reporting of our transaction as well as for the amendments. Follow the table 14 as well as table 15A.
  • Data entry should be accurate as it is the most essential part of filing the GSTR-1 return. The GSTIN is extremely necessary while filing the return. Also, the other tax details that are necessary to upload must be put into practice so that the data processing is very accurate which results in the GST being paid accurately as well.
  • File the records timely so that you do not have to pay any kind of penalties of fees. In some situations people also are subjected to jail. Hence ensure that you are updated on the amendments of deadlines and stay in touch with it regularly.
  • Technology can be utilised in order to ensure the smooth filing of GSTR one return. Due to some revisions in GSTR-1 rules, some new features could be introduced, which you could greatly benefit from, thereby reducing the time of filing the GSTR-1.
  • Finally, one can easily get help from professionals who can easily help you file the GSTR-1 returns and help you as well to be in touch with the new rules and regulations, thereby reducing the chances of errors while filing the tax.

Conclusion

GSTR-1 rules and regulations change, which results in improving the filing experience for the taxpayers. Hence, it is important for everyone to be updated with the rules and regulations, which will enable people to file GSTR-1 returns accurately. If in case you face the challenge of filing a GST return contact any tax professional. The aim is to reduce errors totally in order to ensure that the taxpayers are not subjected to any kind of fees or penalties.

Also Read: GST: Everything You Need To Know

FAQ

  • What is the last deadline for making any amendments towards filing GSTR-1?

30th November of every year has been decided to be the deadline as of November 2022.

  • Is it necessary to file GSTR-3B deciding to file GSTR-1?

Yes, you must file GSTR-3B prior to filing GSTR-1 starting from 1st September 2021.

  • What are the consequences of under-reporting my sales?

Recovery proceedings can be initiated from GST officers which might create problems for you to conduct business.

  • Is there any new table introduced under the GSTR-1 filing?

Yes, tables 14 and 14A have been newly introduced.

  • How can I update myself on the latest GSTR-1 rules?

You can subscribe to government notifications or go through the government portal and other websites.

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Arghyadeep Bose

I am a passionate writer with a deep understanding of the financial world. I believe in making complex financial concepts accessible and engaging for everyone. With my corporate experience and love for storytelling, I craft compelling narratives that educate and inspire. I am always looking for ways to bridge the gap between finance and creativity, and I am excited to share my insights with the world.

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