Good news for businesses: GSTR 1 due date extended, do this to avoid penalty

Here is a good news for people who have failed to file GSTR1 form (Jul,2017 to Sep,2018). The deadline has been extended till 31 October 2018. Failing to file GSTR1 before the extended deadline, may hit your pocket harder.

Businesses with aggregate turnover of over 1.5cr have to file GSTR1 (July 2017- September 2018) till 31st October,2018 including those in Kerala, or whose principle place of business is in Kodagu (Karnataka) and Mahe (Puducherry).

"For registered persons having aggregate turnover up to Rs 1.5 crores in Kerala, or whose principal place of business is in Kodagu (Karnataka) and Mahe (Puducherry), the due date for furnishing GSTR-1 for the quarter July 2018 to September 2018 would continue to remain the same as November 15, 2018," said the Finance Ministry.

Due date for furnishing FORM GSTR-1 from July,2017 to Sept., 2018 has been extended till 31st Oct., 2018 for all registered persons having aggregate turnover above Rs 1.5 crore including those in Kerala or whose principal place of business is in Kodagu(Karnataka)&Mahe(Puducherry) pic.twitter.com/CNQgrbKq3C

— Ministry of Finance (@FinMinIndia) September 13, 2018

Further, the Ministry said those taxpayers migrating to GST as per procedure specified in notification No. 31/2018-central tax the last date for furnishing the details of outward supplies of goods or services or both in GSTR-1 and filing for the return in FORM GSTR-3B for the months of July 2017 to November 2018 has been extended till December 31, 2018. 

Taranpreet Singh, Partner at TASS Advisors said, "There has been a significant non-compliance with respect to the filing of monthly sales return in Form GSTR1. Delay in filing of GSTR1 triggers late fee/penalty. In order to promote compliance, the Government has launched one-time waiver of late fee for filing GSTR1 from July 2017 till September 2018 until 31 October 2018. This is the step in right direction and shall encourage compliance environment within the tax payers"

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"Under the GST provisions, the last date to claim input tax credit for the financial year 2017-18 is 20th October 2018 (i.e the due date for submission of September 2018 GSTR3B return).  With the extension of due date for filing of GSTR1 until 31 October,  it is important the due date of GSTR3B for the month of September is also extended as input tax credit needs to be verified with GSTR1.  Since GSTR1 from July 2017 can now be filed until 31 October 2018, claiming the input tax credit for the same without verifying/ reconciling it with GSTR1 shall trigger issues at the time of GST audit," he added.