You are currently viewing How to File GSTR-1 Return Online: A Complete Guide

How to File GSTR-1 Return Online: A Complete Guide

Loading

Last Updated on February 12, 2024 by Kanakkupillai

A goods and services tax (GST) return is a written record that includes the following details:

  • Total purchase details
  • Total sales made
  • Total tax collected on sales, known as the output tax
  • The total tax paid on purchases is called the input tax

You must pay the government’s net tax burden following GST return filing. It is a form that you must submit as a taxpayer, to put it simply.

All domestic sales of goods and services are subject to the GST. Unlike prior indirect taxes, which were collected at the point of origin, this tax is collected at the point of consumption. A comprehensive, multistage, destination-based tax known as the GST is levied on each value addition.

This blog post looks deeper at GSTR-1 and how it might be filed under the new taxing structure.

Overview of GSTR-1 return filing

For outbound purchases made by a regularly registered taxpayer, GSTR-1 is a monthly GST return. Or, to put it another way, this monthly return shows the sales activity of a company for a particular month.

If the company has a yearly income of more than Rs. 5 crores or has not participated in the quarterly returns with monthly payment (QRMP) program, GSTR-1 must be submitted on or before the 11th of every month. Payments are due quarterly by the 13th of the month after each quarter if the company has participated in the QRMP scheme.

  • Two processes can be started for the GST: online registration and GSTR filing. As a result, the process has been substantially simplified, allowing new firms to register with GST services in one location.
  • The GST legislation has greatly simplified the online claim, payment, and compliance processes. By directly bringing them within the GST’s guidelines, it also aids the unorganized sector.
  • Small businesses that generate between Rs. 20 lakhs and Rs. 75 lakhs in annual revenue may benefit from the GST composition plan. The plan, as mentioned earlier, allows for tax reductions for businesses.

The GST bill replaced 17 indirect taxes with a single, integrated tax. Because of the decreased cost of goods and greater customer demand, the federal and state governments now earn more money.

Importance of filing GSTR-1 return

These returns compute the tax you must pay to the government and provide clear facts about your income. It’s crucial to remember that if you want to submit GST returns, your sales and purchase invoices must be GST-compliant.

Documents required for filing GSTR-1 return online

When submitting your GST returns, keep in mind that the following documents are essential:

  • GSTIN of the customer
  • Complete invoice list, including B2C and B2B services
  • Invoice type
  • Place of supply
  • Applicable GST rate
  • Invoice number
  • Taxable value
  • HSN-wise summary details
  • Consolidated list of inter- and intra-state sales
  • Summary of credit and debit notes
  • Amount of applicable CGST, IGST, GST, and SGST

Steps to file GSTR-1 return online

Registering for the GST portal

The GST Network software or program also enables online submission of GST returns. The following are the procedures you can take to file your GST return online:

Step 1: Register for GSTIN to receive the GSTIN number. The 15-digit number is created using your state code of business and PAN.

Step 2: Click the “Services” link after providing your login and password to access the GST portal.

Step 3: You will be asked to choose the fiscal year for which you are filing the GST return when you choose the “Returns Dashboard” option. Select the appropriate item from the drop-down menu that is offered.

Step 4: After that, pick the return you wish to submit. You can choose from a variety of filing techniques. To start the online GST return process, select “Prepare Online.”

Step 5: Ensure all fields are filled with the required data. Remember to provide the specifics of any late fines owed when filing your GST returns. Then, to submit the form, it must be saved.

Step 6: After submitting the GST return form, ensure the status has changed to “Submitted” in step six.

Step 7: When the return status shows that it has been submitted, choose “Payment of Tax.” The “Check Balance” option will become visible and must be selected. The balance shows the credit and cash balances.

Step 8: Select the “Offset Liability” option to swiftly pay your GST online. To make a statement, check the appropriate boxes now. Once the payment is complete, click “File Form with DSC” or “File Form with EVC.”

GSTR-1 return filing process

The government has been working to innovate and automate processes, and it has established tools for filing GST returns online through the GSTN on the government’s GST portal.

  • Step 1: Visit the GST website at www.gst.gov.in
  • Step 2: Obtain a 15-digit GST Identification Number (GSTIN) generated using your PAN and state code.
  • Step 3: Upload the pertinent invoices to the GST website. Each invoice will receive a reference number that can be used later.
  • Step 4: Verify the information you have entered, and then file your returns after all of your invoices, inner returns, outward returns, and cumulative monthly GST filing returns have been uploaded.

How to download GST returns

By following the instructions below, you can get the GST return filing form from the official GST portal: 

  • Step 1: Go to www.gst.gov.in to access the GST portal.
  • Step 2: Select the “Services” tab in the top menu.
  • Step 3: Select the “Refunds Dashboard” link under the “Refunds” menu.
  • Step 4: Choose the fiscal year and timeframe for filing returns from the corresponding drop-down boxes on the following page.
  • Step 5: Before selecting the GSTR you want to download, pick the “Search” option.
  • Step 6: Select the “Prepare Offline” button next to the GSTR you have chosen.
  • Step 7: Under “Download,” pick the “Generate File” option.

Once your file is ready, a download link will be generated. To examine your GST returns, click the “Click Here” button and download the ZIP file.

Types of GST return filing status

Any of the four following statuses for your GST return could be displayed when you check its status on the official GST portal:

  1. To be filed: The return is due but hasn’t been filed, according to this status.
  2. Submitted but not filed: This status indicates that although your return has been submitted and verified, the GST records have not yet been updated.
  3. Filed-Valid: This status denotes that the return was successfully filed and that the tax was paid under the filing.
  4. Filed-Invalid: It denotes that the return has been submitted, but the tax has not yet been paid or that the amount paid is insufficient.

Benefits of filing GSTR-1 return online

GST eliminates the cascading effect

In the past, it happened frequently that tax was paid for a single transaction. You are no longer required to pay because the GST eliminated several other taxes, including the central excise duty, service tax, customs duty, and state-level value-added tax. It helps you save money.

Higher threshold

The combined turnover threshold for the GST is greater than Rs. 40 lakhs for the sale of goods and greater than Rs. 20 lakhs for the sale of services. This means small businesses that fall under this threshold limit are exempt from submitting GST.

Easier for startups and E-commerce businesses

Startups and e-commerce enterprises now find it simpler to manage their taxes thanks to the GST system, due to the elimination of these disparate tax regulations by the GST, e-commerce, in particular, suffered.

More organized system

Since the introduction of GST, the principal inconveniences associated with tax filing have been removed, and all taxes are now paid online.

Conclusion

In conclusion, filing GST returns online is essential to running a GST-registered business. Precautions and avoiding common mistakes are essential to preventing unneeded reconciliation and legal complications. The various GST return types must also be understood by taxpayers and which ones apply to them based on their registration status and yearly income. To avoid issues during audits and guarantee that their transactions are properly documented, businesses should maintain reliable records of their activities. Seeking professional guidance and counsel can also help ensure compliance with GST rules. 

Final thoughts and recommendations

To file GSTR-1, one can also go to Chennai-based Kanakkupillai.com, the website of Govche India Pvt. Ltd. They will give you advice from their professionals so you can effectively complete the GST return filing process without making any mistakes or encountering any issues. Because they know the most recent GST requirements, their team will ensure that your taxes are filed accurately and on schedule. Additionally, their team is committed to giving you quality service and ensuring you follow all applicable laws.

Kanakkupillai

Kanakkupillai is your reliable partner for every step of your business journey in India. We offer reasonable and expert assistance to ensure legal compliance, covering business registration, tax compliance, accounting and bookkeeping, and intellectual property protection. Let us help you navigate the complex legal and regulatory requirements so you can focus on growing your business. Contact us today to learn more.