GST Filing Rules Tighten from 1 July 2025

• 01 Jul 2025
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From 1 July 2025 onwards, the GST regime has brought two key changes in the GST regime. The first change is the locking of GSTR 3B forms. The second change is a 3 year deadline for GST return filing. 

The GST council has introduced these changes under the GST system with the intention of improving accuracy and ensuring transparency at the time of filing GST returns. Further, these changes aim to reduce mismatches as well as fraudulent claims.

GSTR-3B: Locked Upon Auto-population of Tax Details

For the July 2025 return period that will be filed in August, Form GSTR 3B shall become uneditable upon auto-population of tax details. This means that taxpayers will not be able to manually change the figures pertaining to outward supplies and tax liability in the return form.

To make corrections, the taxpayers will have to utilize the GSTR-1A form before they proceed to file GSTR 3B. For every tax period, only one correction is permitted. In case of reverse charge transactions, however, manual entries will still be allowed.

This move would provide consistency between GSTR-1 (form for recording outward supplies) and GSTR 3B (form used to pay tax). As a result, it will reduce revenue leakages caused by mismatches.

GST Return Filing: 3 Years Timeline

Starting from July 2025, taxpayers will be barred from filing GST returns that are more than three years past their deadline. This rule applies to all the GST return forms, such as GSTR-1, 3B, 4, 5, 5A, 6, 7, 8 and 9.

If the taxpayers have pending returns for older periods, they must complete their filings before the cut-off date. In case of failure to complete their filings within the prescribed period, they can face permanent loss of input tax credit (ITC) or face other consequences. It is possible for exceptions to be made via a special recommendation by the GST Council. 

How Can Businesses Ensure Compliance?

Here’s what businesses need to do to ensure compliance with new changes under GST regime:

• Ensure accurate filing of GSTR-1/IFF each month in a timely manner.

• Use the GSTR-1A form for making corrections. It must be done prior to filing GSTR-3B. 

• File GSTR-3B to declare reverse charge entries manually.

• Make sure no pending returns remain older than three years by 30 June.

Source: MSN News