Changes notified in annual return form GSTR-9: What taxpayers need to do

The Central Board of Indirect Taxes and Customs (CBIC) has notified changes to the annual GST return form GSTR-9, aimed at making the reporting of Input Tax Credit (ITC) more comprehensive.

The changes were notified on September 17 and will come into effect on September 22.

They will apply to annual returns filed for the financial year 2024-25.

Under GST regulations, taxpayers with an aggregate turnover above ₹2 crore are required to file GSTR-9. The annual return consolidates details of sales, purchases, tax paid, and input tax credit availed during a financial year. It must be filed by December 31 of the year following the relevant financial year.

What is GSTR-9 and how it helps?

GSTR-9 is an annual return that summarises all GST transactions of a registered taxpayer for a financial year. It helps reconcile information submitted in monthly or quarterly returns such as GSTR-1, GSTR-2B, and GSTR-3B.

By reporting accurate sales, purchases, and ITC, taxpayers can identify discrepancies, correct errors, and avoid potential notices or penalties from tax authorities.

The revised framework is expected to strengthen reconciliation between different GST filings, ensuring greater accuracy in tax reporting. Filing GSTR-9 also provides the government with a clear picture of tax compliance at the aggregate level, helping in policy planning and enforcement.

Failure to file GSTR-9 within the prescribed timeline attracts late fees and penalties under GST law. The government has periodically revised GSTR-9 to simplify compliance while improving data accuracy.

The latest notification continues this approach, with a focus on ITC reporting.