Key GST Deadlines before March 31, 2025

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As the financial year comes to an end, businesses and taxpayers must fulfill essential GST-related obligations before March 31, 2025. Missing these deadlines could result in penalties, interest charges, or the forfeiture of beneficial schemes. To help taxpayers stay compliant, here’s a detailed checklist of crucial actions that need to be completed on the GST portal before the deadline.

1. Opting for the Composition Scheme (Form CMP-02)

Small businesses seeking to avail the benefits of the Composition Scheme for the financial year 2025-26 must submit Form CMP-02 on the GST portal. The Composition Scheme is designed for businesses with a lower turnover, allowing them to pay GST at a reduced rate while minimizing compliance requirements. The deadline for filing this application is March 31, 2025. Failing to opt in within the stipulated time frame will require businesses to follow the regular GST tax structure for the upcoming financial year.

2. Declaration for Goods Transport Agencies (Annexure V/VI)

Goods Transport Agencies (GTAs) choosing to pay GST under the Forward Charge Mechanism (FCM) or the Reverse Charge Mechanism (RCM) must submit their declaration using Annexure V or Annexure VI on the GST portal. This declaration determines whether GTAs will charge GST to their customers or if the recipient of services will be liable to pay tax under RCM. The last date for filing this declaration is March 31, 2025. Timely submission is crucial to ensure the correct tax mechanism is applied for the next financial year.

3. Submission of LUT for Zero-Rated Supplies

Businesses engaged in exporting goods or services without paying Integrated Goods and Services Tax (IGST) must submit their Letter of Undertaking (LUT) form for the financial year 2025-26. The LUT allows exporters to continue making zero-rated supplies without paying GST upfront. The deadline for submission is March 31, 2025, and failing to file it on time could lead to exporters having to pay IGST on their exports and later claim refunds, causing cash flow disruptions.

4. Annual Re-Calculation Under Rule 42 for FY 2024-25

Taxpayers engaged in both taxable and exempt supplies must complete their annual Input Tax Credit (ITC) re-computation under Rule 42 of the CGST Rules. This recalibration ensures that businesses correctly calculate ITC for exempt and taxable supplies, preventing interest liabilities due to incorrect credit claims. The re-computation process must be completed by April 1, 2025, to avoid any financial burden from miscalculations in ITC adjustments.

5. Opting In or Out of ‘Specified Premises’ for Restaurant Services (Annexure VII, VIII & IX)

Restaurants and food service providers operating from specified premises need to submit Annexure VII, VIII, and IX before March 31, 2025, to opt in or out of this classification. The classification determines GST applicability and compliance requirements for these businesses. Filing these forms on time ensures that restaurants correctly categorize their tax obligations for the next financial year.

6. Clearing Pending GST Dues Under the Amnesty Scheme

Taxpayers with outstanding GST dues from previous financial years can take advantage of the Amnesty Scheme under Section 128A of the CGST Act, 2017. This scheme provides waivers on interest and penalties for non-compliance related to 2017-18, 2018-19, and 2019-20. Businesses looking to clear their pending GST liabilities at a reduced cost must ensure payment is made before March 31, 2025. This scheme provides significant relief to taxpayers who may have struggled with compliance in the past and want to settle their dues without excessive penalties.

Importance of Meeting the March 31, 2025 Deadline

As the deadline approaches, it is imperative that businesses complete all necessary GST filings and payments on time. Proactive compliance ensures that taxpayers:

✔ Avoid penalties and interest charges for missing deadlines.
✔ Continue enjoying benefits such as the Composition Scheme and zero-rated exports under LUT.
✔ Prevent disruptions in business operations due to non-compliance.
✔ Ensure smooth cash flow management by avoiding unnecessary tax burdens.

Final Thoughts

With only a few days remaining until March 31, 2025, businesses must act swiftly to complete their GST-related compliances. Filing the required forms, declarations, and payments on time will help taxpayers avoid legal complications and financial penalties. By adhering to the GST regulations and meeting deadlines, businesses can maintain compliance while benefiting from various tax provisions designed to support smooth and transparent financial operations.