1. Introduction to Nil Return in GST


GST return has to be filed by every registered person under GST irrespective of business turnover or profitability in a month. Hence, even if there were no invoices issued during a month, the taxpayer must log in to the GST Portal and submit a NIL return.

If NIL return is not filed, a penalty of Rs.100 per day is applicable until the filing is complete. Hence, all taxpayer having GST registration must submit NIL GST return before the deadline.

2. Why the Necessity to File Nil Return under GST Arises?


The necessity to file nil return GST arise when a registered dealer in GST has not turned out any outward taxable supplies during the month for which the return is to be prepared.

In returns like GSTR-3B & GSTR-1 there are numerous details to be filled by a registered tax payer with regards to his tax liability and Outward supplies. But a person with zero sales need not have to fill those many details on the GSTN Network which a normal tax payers would file with respect to his returns.