Steps Involved in GST Return Filing by an Accountant

Step 1: Data Collection

The accountant collects all necessary sales and purchase invoices, tax payments, and other financial documents required for GST return filing.

Step 2: Verification of Input Tax Credit (ITC)

ITC claims are carefully verified to ensure they comply with GST regulations and that no ineligible claims are made.

Step 3: Preparing GST Returns

Based on the collected data, the accountant prepares the necessary GST returns (GSTR-1, GSTR-3B, etc.) and calculates the tax liability.

Step 4: Submission on GST Portal

The prepared GST returns are filed on the GST portal (www.gst.gov.in), ensuring that all details are accurate.

Step 5: Tax Payment (if applicable)

If the business has any GST liability, the accountant ensures that the correct amount is paid before submitting the return.

Step 6: Reconciliation and Record-Keeping

A professional accountant regularly reconciles GST returns with books of accounts to ensure there are no discrepancies and maintains proper records for future audits.

Documents Required for GST Return Filing

To ensure accurate filing, businesses must provide the following documents to their accountant:

• GSTIN (GST Identification Number)
• Sales invoices and purchase bills
• Tax payment receipts and challans
• Bank statements related to business transactions
• Details of credit and debit notes issued
• E-way bills (if applicable)

Consequences of Not Filing GST Returns on Time

Failing to file GST returns can result in penalties, interest charges, and even cancellation of GST registration. Some of the major consequences include:

1. Late Fee: ₹50 per day for normal returns, ₹20 per day for nil returns.
2. Interest on Delayed Payment: 18% per annum on outstanding GST liability.
3. Loss of Input Tax Credit: If returns are not filed, ITC claims may be blocked.
4. Legal Actions: In severe cases, businesses may face legal proceedings or GST registration suspension.