What is GSTR-10 and How to File it?

Last Update Date : August 13, 2018

what is GSTR-10

The Goods and Services Tax Return 10 is the final return to be filed by a taxable person registered under GST law who opts for cancellation of GST registration. This guide by earlyGST will help you understand everything you need to know about this form like the form structure, filing process and non-filing penalties etc.

Who can file Form GSTR-10?

GSTR-10, under section 45, is required to be furnished by a taxable person whose registration has been surrendered or cancelled.i.e, ceases to do business either voluntarily or unwillingly (i.e.by an order by the authorities).

When to file Form GSTR-10?

The GSTR-10 needs to be electronically filed within 3 months of the date of cancellation or date of issue of cancellation order, whichever is later.
Example: If M/s A LTD, is supplying goods which was earlier in the ambit of GST , but due to a notification as on 20th June 2018 , falls out of the ambit of GST , and the company wants to cancel the GST Registration, it should file GSTR-10 by 20th September 2018.

What Details are Included in GSTR-10?

The following details must be provided in GSTR-10:

  • GSTIN of the taxpayer
  • Legal Name
  • Business Name
  • Application Registration Number of GST registration surrender application
  • Effective Date of GST registration surrender/cancellation (DD/MM/YYYY)
  • If GST cancellation order has been passed
  • Unique ID of cancellation order
  • Date of Cancellation Order (DD/MM/YYYY)
  • Closing Stock held on date of surrender or cancellation
  • Inputs as such
  • Inputs in semi-finished goods
  • Inputs in finished goods
  • Input services
  • Capital goods
  • Amount of tax payable on closing stock
  • Verification

Proforma of Form GSTR-10

GSTR-10 generally consists of 10 sections which is explained below:

1. GSTIN (Goods and Services Taxpayer Identification Number)-

15 digit state-wise PAN number which will be auto-populated when a tax payer selects to file GSTR-10

2. Name of the person/business liable to deduct the tax-

Both registered name of a taxpayer and legal name of the business establishment will be auto-populated when a taxpayer selects to file GSTR-10.

3. Address-

The company address submitted for GSTIN registration will be auto-populated at the time of system login. The above-mentioned sections will be auto-populated at the time of login.

4. ARN (Application Registration Number)-

If the application for the cancellation of the business is approved by tax authorities, ARN will be furnished here.

5. The effective date of cancellation / date of business surrender-

You need to fill the effective date of either cancellation of business or surrender of the business of GST registration as contained in the order.

6. If the order for cancellation has been passed?

Here, the taxpayer needs to be clearly specific whether business has been closed voluntarily or by force of authorities.

7. If yes, the Unique ID of cancellation order-

In case of forced cancellation, this heading needs to be filled up with unique identification number of cancellation order.

8. Date of cancellation order–

Date of issue of cancellation order needs to be furnished under this head

9. Details of closing stock / inventory-

The taxpayer needs to furnish the entire details pertaining to closing stock at that date of closure of his/her business. He/she should also mention input tax credit (ITC) relating to closing stock.

10. Taxable amount on closing stock / inventory-

Whatever tax you owe on the amount of your closing stock on the date of the closure of your business, is mentioned under this head.

11. Verification-

Upon filling up all the sections of the GSTR-10, a taxpayer is required to declare the authenticity of the document and sign it electronically. Either this can be verified using a DSC or an Aadhaar based verification system.

Headings that Appear under Form GSTR-10 and their Significance

Most of the headings under this return are auto-populated from the details of the concerned taxable person except for date of cancellation and closing stock details.

# Headings Details to be furnished
1. GSTIN (Goods and Services Taxpayer Identification Number ) 15 digit state-wise PAN number which will be auto-populated when a tax payer selects to file GSTR-10
2. Name of the person/business liable to deduct the tax Both registered name of a taxpayer and legal name of the business establishment will be auto-populated when a taxpayer selects to file GSTR-10
3. Address The company address submitted for GSTIN registration will be auto populated here.
4. ARN (Application Registration Number) If application for the cancellation of the business is approved by tax authorities, ARN will be furnished here.
5. Effective date of cancellation / date of business surrender The effective date of either cancellation of business or surrender of business is mentioned under this heading
6. If order for cancellation has been passed? To be clearly specified whether business has been closed voluntarily or by force of authorities.
7. If yes, UID of cancellation order In case of forced cancellation, this heading needs to be filled up with unique identification number of cancellation order
8. Date of cancellation order Date of issue of cancellation order needs to be furnished under this head
9. Details of closing stock / inventory Enter the entire details pertaining to closing stock at that date of closure of your business. It should also mention input tax credit (ITC) related to your closing stock.
10. Taxable amount on closing stock / inventory Whatever tax you owe on the amount of your closing stock on the date of the closure of your business, is mentioned under this head.

Upon filling up all the sections of the GSTR-10, a taxpayer is required to declare the authenticity of the document and sign it electronically. Either this can be verified using a DSC or an Aadhaar based verification system.

What is the Penalty for not Filing GSTR-10?

  • If a taxpayer fails to file final GST return, then a notice for not filing the final return will be sent to that registered person.
  • Later, the taxpayer would be provided a 15 days period for filing the return along with all the documents.
  • If the taxpayer fails to respond to the tax notice or does not file the GSTR-10 return, then the tax officer would pass the final order of cancellation with the amount of GST tax payable along with interest or penalty.
  • Hence, to avoid unnecessary litigation or liabilities, it is important for all taxpayers who have surrendered or cancelled their GST registration to file GSTR-10 return within 3 months.

Frequently Asked Questions

1. What is the difference between Annual Return and Final Return?
Answer: Annual return has to be filed by every registered person paying tax as normal taxpayer under GST. Annual return is to be filed once in a year in Form GSTR 9. Whereas, Final return is required to be filed by the persons whose registration has been cancelled or surrendered in Form GSTR 10.

2. Returns to be filed by Casual and Non-Resident Taxpayers?
Answer: Casual/Non-Resident Taxpayers should file GSTR-1, GSTR-2 and GSTR-3 for the period for which they have obtained registration within a period of seven days after the date of expiry of registration. In case registration period is for more than one month, monthly returns would be filed and thereafter return for remaining period would be filed within a period of seven days as stated earlier.

3. Will all traders necessarily have to register under GST?
Answer: A trader dealing only in exempted goods or where his turnover is below Rs.20 Lakhs in the financial year (but not engaged in inter-State supplies) is not required to register under GST.

How can earlyGST help you?

After implementation of GST, the tax compliance requirements changed drastically. As a result, several businesses find it challenging to focus on their business while trying to be GST compliant. This is where we come into the picture. Our team of in-house GST experts can help you meet all the GST compliance requirements right from registration and filing of returns to handling notices.

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