Bank Details Mandatory for GSTR-1 Filing

As per Rule 10A of the CGST Rules, 2017, a taxpayer should submit details of bank accounts on a common portal within 30 days of grant of GST registration or before filing of GSTR 1/IFF, whichever is earlier. This amendment was made vide Notification No. 38 /2023 - Central Tax, dated: 04.08.2023. Earlier, this time limit was 45 days from the grant of registration or the due date of GSTR 3B, whichever is earlier.

The following are key amendments:

1. The limit of 45 days from grant of registration is reduced to 30 days.
2. The limit of the due date of GSTR 3B has been changed to the actual filing date of GSTR 1/IFF.

GSTN issued an advisory on the 23rd of January, 2024 regarding the same.

Advisory dated 23rd of January, 2024

Mandatory Bank Account Details Submission as per law: All Registered Taxpayers are required under the provisions of CGST Act, 2017 and the corresponding Rules framed thereunder to furnish details of their bank account /s within 30 days of the grant of registration or before the due date of filing GSTR-1 /IFF, whichever is earlier.

Taxpayers are therefore advised to promptly furnish their bank account details, which have not been provided so far if 30 Days period is shortly going to expire to avoid disruption in business activities and the subsequent suspension of GSTIN.

A new functionality is being developed with the following features and will be deployed soon:

• Failure to furnish the bank account in the stipulated time: Would result in the following:
  1. Taxpayer Registration would get suspended after 30 days and intimation in FORM REG-31 will be issued to the Taxpayer.
  2. Get the Taxpayer debarred from filing any further GSTR-1/IFF.
• Revocation of Suspension: If the taxpayer updates their bank account details in response to the intimation in FORM REG-31, the suspension will be automatically revoked.
• Cancellation of Registration: If the bank account details are not updated even after 30 days of issuance of FORM REG-31, the registration after suspension may also be taken up for cancellation process by the Officer.

Taxpayers are requested to take immediate action to provide the necessary information and avoid any adverse consequences.

How to submit bank details on the portal?

• Go to www.gst.gov.in and log in
• Go to Services>>Registration>>Amendment of registration Non-core fields.
• Select the Bank Accounts Tab.
• Enter the total number of bank accounts and click the ADD NEW button.
• Enter the IFSC code, account number, and type of account. Attach supporting document. Supporting documents can be any of the below-mentioned options:
  1. The first page of the bank passbook
  2. Bank statement
  3. Cancelled cheque having name of Taxpayer
• Click SAVE & CONTINUE.
• Click CONTINUE and then BACK
• Submit the application with EVC/DSC.

Conclusion :

In conclusion, adhering to the new rule of providing bank details within 30 days of GST registration or before filing GSTR-1/IFF is crucial for uninterrupted business operations. The recent advisory from GSTN emphasizes the potential consequences of non-compliance, including suspension of GSTIN and debarment from filing GSTR-1/IFF. Taxpayers must act promptly to submit the required bank information on the GST portal and avoid adverse outcomes. The upcoming functionality with features for suspension revocation and cancellation process underscores the importance of timely compliance.