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Decoding GSTR 10 Filing: Eligibility, Due Dates, and Process

Updated: May 20


Decoding GSTR 10 Filing: Eligibility, Due Dates, and Process

In the intricate landscape of GST compliance, GSTR 10 stands as a crucial yet often misunderstood component. Understanding this final return is critical for taxpayers who are in the process of cancelling or surrendering their GST registration. In this blog, we'll empower you by unravelling the complexities surrounding GSTR 10 and providing clarity on its purpose, filing requirements, and recent updates.

 

Table of Contents

 

Understanding GSTR 10

GSTR 10, colloquially known as the "final GST return," serves as the conclusive step for taxpayers bidding farewell to their GST registration. Whether due to voluntary cancellation or action taken by tax authorities, GSTR 10 encapsulates the final details of transactions and tax liabilities up to the cancellation or surrender date.


Eligibility Criteria:

Taxpayers falling under the following scenarios are required to file GSTR 10:


1. Voluntary Cancellation: Individuals or businesses opting to cancel their GST registration voluntarily.

2. Cancellation by Tax Officer: Instances where tax officers initiate the cancellation of GST registration.

3. Surrender of Registration: Taxpayers who voluntarily surrender their GST registration.


Form GSTR-10 can be filed by every taxpayer, excluding the following:

  • Input Service Distributor

  • Non-resident taxable persons

  • Persons deduct tax at source (TDS) under section 51

  • Composition Taxpayer paying tax under section 10

  • Persons collect tax at source (TCS) under section 52


Due Date of Filing of GSTR 10

The due date for filing GSTR 10 is within three months from the date of cancellation or surrender of the GST registration.


Let's say a taxpayer voluntarily cancels their GST registration on April 15, 2024. In this case, the due date for filing their GSTR 10 would be three months from that date, which would be July 15, 2024.


List of information that needs to be provided in GSTR 10:


2. Legal Name of the Taxpayer: The legal name of the taxpayer as per their GST registration.


3. Trade Name: If applicable, the trade name under which the business operates.


4. Address: The address of the principal place of business.


5. Date of Cancellation or Surrender: The date on which the GST registration was cancelled or surrendered.


6. Reason for Cancellation or Surrender: The reason for the cancellation or surrender of GST registration, whether voluntary or initiated by the tax officer.


7. Particulars of Stock Held on the Date of Cancellation or Surrender: Details of the stock held by the taxpayer on the date of cancellation or surrender, including quantity and value.


8. Particulars of Taxable Supplies Made: Information about taxable supplies made by the taxpayer up to the date of cancellation or surrender, including details of invoices issued.


9. Particulars of Taxable Supplies Received: Details of taxable supplies received by the taxpayer up to the date of cancellation or surrender.


10. Particulars of Tax Paid: Information about tax paid on taxable supplies made or received up to the date of cancellation or surrender.


11. Particulars of Input Tax Credit (ITC) Availed: Details of input tax credit availed by the taxpayer up to the date of cancellation or surrender.


12. Particulars of ITC Reversed: Any input tax credit that needs to be reversed as per GST rules, along with the corresponding amount.


13. Details of Outstanding Tax Liabilities: Information about any outstanding tax liabilities that need to be paid by the taxpayer.


14. Declaration: A declaration by the taxpayer stating the accuracy and completeness of the information provided in GSTR 10.


Step-by-step process of filing GSTR 10:

1. Log in to the official GST portal using your credentials.

2. Navigate to the 'Services' tab and click 'Return Dashboard.'

3. Select the relevant financial year and return filing period.

4. Choose 'Prepare Online' under GSTR 10.

5. Fill in all required details, including turnover, tax liability, and stock in hand.

6. Review the information entered and make any necessary corrections.

7. Once satisfied, click on 'Submit.'


What happens if you miss the deadline for filing GSTR 10?

If GSTR 10 is not filed by the due date, a notice will be issued to the registered individual. They will have 15 days to file the return along with all necessary documents. If the individual still fails to file the return within this extended period, the tax officer will issue a final order for cancellation. This order will specify the amount of tax payable, along with any applicable interest or penalties.


"Final Return vs. Annual Return: Understanding the Difference"

The distinction between a final return and an annual return in the context of GST filing is significant for taxpayers. Here's a breakdown of the key differences:


1. Annual Return (GSTR 9):

  • Requirement: Every registered person paying tax as a regular taxpayer under GST is obligated to file the annual return.

  • Frequency: The annual return is filed once a year.

  • Form: It is filed using Form GSTR 9.

  • Purpose: The annual return provides a comprehensive summary of all inward and outward supplies made during the financial year. It includes details of taxes paid and input tax credits (ITC) availed by the taxpayer.


2. Final Return (GSTR 10):

  • Requirement: The final return is required to be filed by individuals or entities whose GST registration has been cancelled or surrendered.

  • Trigger: It is filed upon cancellation or surrender of GST registration.

  • Form: The final return is filed using Form GSTR 10.

  • Purpose: The final return encapsulates the conclusive details of transactions and tax liabilities up to the date of cancellation or surrender. It serves as the last filing obligation for taxpayers exiting the GST system.


In essence, while the annual return provides a comprehensive overview of a taxpayer's transactions over the entire financial year, the final return pertains explicitly to the conclusive details of transactions leading up to the cancellation or surrender of GST registration.


FAQ

Q1. What is the due date for filing GSTR 10?

 GSTR 10 must be filed within three months from the date of cancellation or surrender of GST registration.


Q2. What happens if GSTR 10 is not filed on time?

Failure to file GSTR 10 on time may result in a penalty of ₹200 per day (₹100 for CGST + ₹100 for SGST/UTGST), with no upper limit.


Q3. Can I revise GSTR 10 after filing?

No, GSTR 10 cannot be revised once filed. It's crucial to ensure accuracy before submission.


Q4. How do I file GSTR 10?

GSTR 10 is filed online through the official GST portal. Taxpayers need to log in, select the appropriate financial year, fill in the required details, review, and submit the return.


Q5. What if I miss the deadline for filing GSTR 10?

A notice will be sent if the deadline is missed, giving 15 days to file the return. If still not filed, the tax officer will pass a final order for cancellation with applicable tax, interest, or penalty.


Q6. Can late fees for GSTR 10 be waived?

Yes, late fees exceeding Rs. 1,000 per return (Rs. 500 under CGST and Rs. 500 under SGST/UTGST) may be waived for filings made between specified periods, subject to conditions.


Q7. Is there any exemption from filing GSTR 10?

No, all taxpayers whose GST registration has been cancelled or surrendered are required to file GSTR 10, irrespective of turnover.




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