Attention, GST taxpayers! From September 1, you will not be allowed to file GSTR-1 unless you do this
As per GST Rule 10A, a taxpayer is required to furnish details of a valid bank account within 30 days of undertaking registration, or before furnishing the details of outward supplies of goods or services or both in Form GSTR-1or using Invoice Furnishing Facility (IFF), whichever is earlier.
There's an important update for Goods and Services Tax (GST) assessees. From September 1, 2024, GST authorities will only allow the filing of GSTR-1 returns or the submission of data using the Invoice Furnishing Facility (IFF) of the registered taxpayer who has furnished their bank account details. According to an advisory dated August 23 shared by the GST Network on microblogging site X (formerly Twitter), the GST taxpayer "will not be able to furnish GSTR-01/IFF", as the case may be, "without furnishing the details of a valid bank account in their registration details" on the GST portal.
GSTN is a government-owned entity that provides the technological infrastructure for the GST system in the country.
The organisation has time and again informed the taxpayers about the mandatory requirement of furnishing their details while undertaking GST registrations.
As per Rule 10A of the GST law, a taxpayer is required to furnish the details of a valid bank account within 30 days from either of the following two, whichever is earlier:
- The date of the grant of registration
- Before furnishing the details of outward supplies in Form GSTR-1 or using the IFF
This rule is being enforced from September 1, GSTN said.
It is informed that in the absence of valid bank account details in the GST registration, the assessee will not be able to file the GSTR-1 return or furnish the details using the Invoice Furnishing Facility, it added.
What to do?
"All the taxpayers who have not yet furnished the details of a valid Bank Account details are hereby requested to add their bank account information in their registration details by visiting Services > Registration > Amendment of Registration Non - Core Fields tabs on GST Portal," according to the advisory.
What is GSTR-1?
GSTR-1 is a form that enables businesses to file monthly or quarterly returns to provide details of their outward supplies of goods and services. It contains a variety of details including information on sales, any invoices issued, and related transactions.
What is IFF?
It is a special facility that enables businesses to upload invoice details instantaneously. It allows for the reporting of invoices and credit/debit notes on a more frequent basis, usually for businesses that have opted for quarterly GSTR-1 filing.
All in all, while both GSTR-1 and IFF deal with reporting of sales and invoices, GSTR-1 is the main return that includes a comprehensive report of outward supplies, while IFF is a supplementary facility designed to ease the reporting process for businesses that file quarterly.
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