GSTR 10: Eligibility, Rules, Late Fees & Filing Returns

Are you a GST-registered taxpayer who wants to cancel the GST registration?

If yes, you must know about GSTR 10 return filing, which is mandatory for all taxpayers who cancel their GST registration. But first, let's undertsand what GSTR 10 is. 
 

What is GSTR 10?

GSTR 10 is a return that must be filed by taxpayers who have had their GST registration cancelled or surrendered. The return must be filed within three months from the date of cancellation or surrender of the GST registration.

Eligibility to File GSTR 10

GSTR 10 applies to taxpayers whose GST registration has been cancelled or surrendered. The following are the scenarios where a taxpayer may need to file GSTR 10.

1. Voluntary Cancellation of Registration: If a taxpayer opts for voluntary cancellation of registration, they must file GSTR 10.
2. Cancellation by The Tax Officer: If a tax officer cancels a taxpayer’s registration, they must file GSTR 10.
3. Surrender of Registration: If taxpayers surrender their registration, they must file GSTR 10.

Rules for GSTR 10

The following are the rules that must be followed while filing GSTR 10:

1. The return must be filed within three months from the date of cancellation or surrender of the GST registration.
2. The return must be filed online on the official GST portal.
3. The return cannot be revised once filed.
4. All outstanding tax liabilities need to be paid before filing the return.
5. Any input tax credit (ITC) that remains unutilised must be reversed, and the amount must be paid to the government.

How to File GSTR 10?

Filing GSTR 10 is a simple process. Here’s a step-by-step guide:

1. Log into the official GST portal with your credentials
2. Go to the ‘Services’ tab and click the ‘Return Dashboard’ button
3. Now, choose the financial year and the return filing period
4. Click on ‘Prepare Online’ under GSTR 10
5. Fill in the required details, including turnover, tax liability, stock in hand, and other relevant information
6. Once you have completed filling in all the details, click ‘Preview’
7. Review the details and make corrections if needed
8. Click on ‘Submit’
9. After successfully submitting GSTR 10, you will receive confirmation and an acknowledgement

GSTR 10 Late Fees

Late fees for GSTR 10 are ₹200 a day (₹100 for CGST + ₹INR for SGST). The penalty has no upper limit.

As of March 31, 2023, the CBIC has announced an update. Taxpayers who were unable to submit their GSTR-10 return within the specified deadline now have the opportunity to file it between April 1, 2023, and June 30, 2023. It has been confirmed that late fees exceeding Rs. 1,000 per return (Rs. 500 under CGST and Rs. 500 under SGST) will be waived in such cases.

Conclusion

In conclusion, GSTR-10 is a mandatory return that must be filed by GST-registered taxpayers who cancel or surrender their GST registration. It must be filed within three months from the date of cancellation or surrender. The return cannot be revised once filed, and any outstanding tax liabilities must be paid. Late fees for GSTR-10 have been waived for taxpayers who file their returns between April 1, 2023, and June 30, 2023, with fees exceeding Rs. 1,000 per return waived.

Frequently Asked Questions

1. What happens if GSTR 10 is not filed?

The return must be filed within three months of the cancellation or surrender date. If taxpayers fail to file GSTR 10 within the specified timeline, they may be liable to pay a penalty. Additionally, non-filing of the return can result in further legal actions by the GST authorities.

2. What is the difference between GSTR 9 & GSTR 10?

GSTR 9 and GSTR 10 are GST returns taxpayers file under different circumstances. GSTR 9 is an annual return that must be filed by registered taxpayers irrespective of their turnover. It contains details of all inward and outward supplies made during the financial year and other details.

On the other hand, GSTR 10 is a final return that must be filed by taxpayers whose GST registration has been revoked or surrendered. It contains details of all supplies made and taxes paid up to the date of cancellation or surrender.

‍