GSTR-9C is mandatory only for registered taxpayers with an aggregate annual turnover exceeding ₹5 crore. It is a reconciliation statement between the audited financial statements and the GSTR-9 annual return, which must be filed by December 31st of the following financial year.
Who is required to file GSTR 9C? Every registered person under GST whose turnover during a financial year exceeds the prescribed limit of Rs. 5 crore must file a self-certified reconciliation statement in Form GSTR-9C. This statement must be filed by every GST-registered taxpayer, i.e. every GSTIN.
Failing to file GSTR-9C on time results in a penalty of Rs. 200 per day (Rs. 100 CGST + Rs. 100 SGST), with a maximum penalty of 0.50% of the taxpayer's turnover.
GSTR-9C Turnover Limit
GST registrants who obtained or held registration anytime during a given financial year are required to file annual return for the said financial year.
If you don't file an annual report, your business risks late fees, suspension of its right to do business, and eventually administrative dissolution (being shut down by the state), which can lead to losing your liability protection, making it hard to get financing or contracts, and having your business name taken by others. Reinstatement is often possible but involves back payments, penalties, and extra paperwork, according to NCH inc..
Composition taxpayers can file Annual Return in Form GSTR-9A. Annual Return is not required to be filed by casual taxpayer / Non Resident taxpayer / ISD/ OIDAR Service Providers.
GSTR 9 is an annual return that GST-registered businesses must file, detailing their financial transactions. GSTR 9C is a reconciliation statement, mandatory for businesses with a turnover exceeding Rs. 2 crores, ensuring consistency between audited financial statements and GSTR 9.
GSTR-9 annual return filling is mandatory for every taxpayer registered under GST. Certain categories are exempted from this filing, including casual taxpayers, non-resident taxpayers, Input Service Distributors, and those who deduct or collect tax under Section 51 or Section 52.
Section 44AD is a presumptive taxation scheme that allows taxpayers to pay tax on a presumed percentage of their annual turnover given that the annual turnover is less than Rs. 2 crores (Rs. 3 crores if 95% of receipts are through online modes).
Scope of the Scheme: The waiver scheme applies to only those taxpayers who have failed to file GSTR-9 earlier. To avail benefits of this scheme, taxpayers have to file the return before March 31, 2025. Already Paid Late Fees: No refunds will be issued if the taxpayer has already filed the return with late payment fees.
If you (a regular taxpayer) does not file a return for a continuous period of six months, then the GST Officer may cancel the GST registration of such person. Before cancellation, the officer will issue a Notice seeking your clarification.
Example 1 – If GSTR 9 is furnished on 25th December 2025 (due date 31st December 2025) and GSTR 9C is furnished on 7th January 2026. Then no late fees is levied for GSTR 9 as it is furnished within due date. However late fees for 7 days (delay in furnishing of GSTR 9C) is auto populated in GSTR 9C.
If your GST turnover is below the $75,000 threshold, you may choose to register. But if you do, regardless of your turnover, you must: include GST in the price of most goods and services you sell. claim GST credits for most business purchases you make.
Annual Return
All companies, including inactive and dormant companies, are required to file annual returns. As long as a company's status is "live", it must file its annual return with ACRA even if IRAS has exempted the company from filing its income tax return. Read our guide on filing Annual Returns.
GST is leviable only if aggregate turnover is more than 20 lacs. (Rs. 10 lacs in 11 special category States). For computing aggregate supplies turnover of all supplies made by you would be added.
Every registered person under GST with an annual turnover exceeding ₹5 crore is required to file GSTR-9c. According to CBIC's CGST Notification No. 30/2021 dated 30th July 2021, foreign companies in the airline business, compliant with the Companies Act 2013, are exempt from filing GSTR-9c.
Types of Annual Returns (GSTR-9, 9A, 9C)
It is mandatory if your business's turnover is more than ₹2 crore during the financial year. GSTR-9A (Discontinued): GSTR-9A was introduced by the GST Council only for composition taxpayers. However, it has now officially been discontinued.
All taxpayers with an annual aggregate turnover of more than Rs. 5 crore must file GSTR-9C for the financial year.
Penalties: Failure to file GSTR-9C can attract penalties under Section 125 of the CGST Act, imposing a general penalty of up to ₹25,000 for non-compliance. State GST Penalties: State GST laws may impose equivalent penalties, potentially doubling the financial burden.
GSTR-9C was introduced on September 13, 2018. The form is designed particularly for taxpayers with an annual turnover exceeding two crores.
The turnover limit for a mandatory GST audit is ₹2 crore. If a taxpayer's annual turnover exceeds this amount, they must have their accounts audited by a qualified Chartered or Cost Accountant.
What happens if I don't file GST returns? If you don't file the GST returns, then late fees will apply for every day of default that occurs. Further, if there is any tax due, then interest will apply at the rate of 18% per annum on the tax liability.
Customers do not pay GST on goods and services that are GST‑free such as basic food, many medical and health services, some education courses, childcare, certain medical aids, and exports.
What is the Minimum Turnover Limit for GST Registration? Businesses are required to register for GST and pay tax on their annual turnover if their annual revenue exceeds Rs. 40 lakhs in the case of goods supplied and Rs. 20 lakhs for the supply of services.