Lok Sabha Question No. 2559 (UNSTARRED), answered on 2026-03-09
Subject: GST Compliance and Return-Filing Reforms
Ministry: FINANCE
Asked by: Shri Dharambir Singh, Shri Lavu Sri Krishna Devarayalu, Shri Shankar Lalwani, Shri Praveen Patel, Shri Vishweshwar Hegde Kageri, Smt. Mahima Kumari Mewar, Shri Damodar Agrawal, Shri Haribhai Patel, Shri Captain Brijesh Chowta, Shri Satish Kumar Gautam, Shri Anurag Sharma, Smt. Kamaljeet Sehrawat, Shri Bharatsinhji Shankarji Dabhi, Dr. Nishikant Dubey, Smt. Mala Rajya Laxmi Shah

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE

## LOK SABHA

## UNSTARRED QUESTION NO. 2559

TO BE ANSWERED ON MONDAY, MARCH 9, 2026/PHALGUNA 18,1947 (SAKA)

' GST COMPLIANCE AND RETURN-FILING REFORMS '

✝ 2559. SHRI SATISH KUMAR GAUTAM:

SHRI ANURAG SHARMA:

SHRI CAPTAIN BRIJESH CHOWTA:

SHRI DHARAMBIR SINGH:

SHRI LAVU SRI KRISHNA DEVARAYALU:

SMT. MALA RAJYA LAXMI SHAH:

SMT. MAHIMA KUMARI MEWAR:

SHRI VISHWESHWAR HEGDE KAGERI:

SMT. KAMALJEET SEHRAWAT:

SHRI HARIBHAI PATEL:

SHRI SHANKAR LALWANI:

SHRI PRAVEEN PATEL:

SHRI DAMODAR AGRAWAL:

DR. NISHIKANT DUBEY:

SHRI BHARATSINHJI SHANKARJI DABHI:

Will the Minister of FINANCE be pleased to state:

- (a) the status of reforms undertaken by the Government to simplify and streamline the compliance of the Goods and Services Tax (GST) and filing procedures of return, including changes made in the structure of return, auto-population of data and the updatation mechanisms;
- (b) the key measures taken to reduce compliance burden for small and medium taxpayers to improve the accuracy and integrity of filing process;
- (c) the manner in which these reforms made an impact on return-filing timelines, compliance levels, dispute generation and Ease of Doing Business (EoDB);
- (d) whether the Government, in consultation with the GST Council, has undertaken any assessment of the effectiveness of these GST compliance and return-filing reforms;
- (e) if so, the details thereof; and
- (f)  whether  the  Government  proposes  to  organise  GST  facilitation  camps  or  establish  a  GST  help centre in Bhiwani-Mahendragarh Lok Sabha Constituency to assist small traders and MSMEs, if so, the details thereof?

(a) to (e)

i. Functionality  for  filing  of  NIL  GST  monthly  return  through  SMS  has  been created for benefit of taxpayers.

ii. Also, e-invoicing under GST has been implemented and made effective from August 1, 2023. Presently, taxpayers with turnover upto 5 crore, issue invoice through e-invoicing  which  are  auto-populated  in  GSTR-1  of  the  seller,  facilitating  them  in filing their GSTR-1 and thus GSTR-3B.

iii. Sequential filing of GSTR-1 and GSTR-3B: Filing of GSTR-1 has been made mandatory before filing of GSTR-3B for a tax period with effect from 01.10.2022. This ensures that invoice details declared in GSTR-1 by the seller are used to autopopulate the tax liability in his return to be filed in GSTR-3B and is also used to auto-populate ITC to be availed in return to be filed in GSTR-3B by the purchaser.

iv. In order to further streamline auto-population of tax liability data in returns, an optional facility in GSTR-1A was introduced in August 2024, allowing taxpayers to amend GSTR-1 data before filing GSTR-3B, thereby aligning tax liability discharged in GSTR-3B to that declared by the taxpayer in his GSTR-1.

v. In  order  to  further  streamline  auto-population  of  ITC  data  in  returns,  the Invoice Management System (IMS) facility has been introduced on the GST portal in late  2024.  It  allows  recipients  to  accept,  reject,  or  mark  invoices  as  pending  when these are saved or filed by their supplier taxpayers helping taxpayers to cross-verify and  reconcile  invoices  reported  by  suppliers  in  their  GSTR-1,  thereby  streamlining and strengthening the ITC claim process.

vi. In order to nudge taxpayers in timely filing of returns certain measures have been undertaken, such as:

· Registration  can  be  suspended  if  a  taxpayer  has  not  furnished  returns  for  a continuous period of 6 months in case of regular taxpayer and 2 tax periods months in case of composition taxpayer.

· E-Way Bill generation is blocked automatically when regular taxpayers fail to file GSTR-3B for two consecutive tax periods.

## MINISTER OF STATE IN THE MINISTRY OF FINANCE

## ANSWER (SHRI PANKAJ CHAUDHARY)

- vii. In  order  to  reduce  the  frequency  of  filing  of  returns,  various  scheme  are available to typically small taxpayers such as:
- A scheme of quarterly return filing and monthly payment (QRMP) has been introduced where small taxpayers with turnover up to Rs. 5 crores have an option to file returns on quarterly basis, instead of monthly return.
- Similarly, very small taxpayers, with turnover upto Rs. 1.5 crores (75 Lakhs in special  category  states),  can  subject  to  certain  conditions,  opt  to  register  under composition  scheme,  under  which  return  is  to  be  filed  on  annual  basis,  along  with quarterly payment of tax.

viii.        GSTR-1  and  GSTR-3B filings has recorded a cumulative increase affirming that  the  mandating  sequential  filing  of  returns  has  had  a  measurable  and  positive impact on taxpayer compliance.

(f) GST-related assistance is presently being provided through Central Goods & Services Tax Division, Bhiwani for Bhiwani-Mahendragarh Lok Sabha Constituency, where taxpayers can  obtain  guidance  relating  to  registration,  return  filing,  compliance  issues  and  grievance resolution.

Further,  a  GST  Help  Centre  has  been  established  in  the  CGST  Commissionerate, Rohtak, as per extant instructions. The field formations of the Central GST Commissionerate regularly undertake taxpayer outreach and facilitation activities across the Commissionerate to assist small traders, MSMEs, and new taxpayers. These initiatives include the organization of GST awareness programmes, trade facilitation camps, grievance redressal meetings, and taxpayer assistance sessions from time to time, depending upon local requirements.

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