The Goods and Services Tax Network (GSTN) has come out with an important advisory about the archival of GST returns data on the GST portal. While this development is likely to have an impact on businesses and individuals, it could be like a set of guidelines for the retention and accessibility of GST return data.
“Section 39 (11) of the CGST Act, 2017, implemented w.e.f 01-10-2023 vide Notification No. 28/2023 – Central Tax dated 31st July 2023, provides that the taxpayers shall not be allowed file their GST returns after the expiry of a period of three years from the due date of furnishing the said return,” according to the advisory. This guideline puts forth a cut-off date for later filers, stressing timely submissions.
Moreover, The GSTN will retain return data for a maximum of seven years, in line with the data retention policy of the GST portal. This indicates that once the seven years is gone, the taxpayers will no longer have access to their old GST returns through the portal.
On August 1, 2024, the archival process began, and the July 1 2017 returns got archived. After that, the August 2017 returns were archived on September 1, 2024. The advisory also made clear that this archival will continue on a monthly basis. For example, the returns filed for September 2017 will be archived on October 17, 2014, and this process will continue for subsequent months.
This policy points out that taxpayers need to be proactive in securing their data. Also, as access to return data would be restricted after seven years, businesses and individuals need to download and store any necessary return records for future reference. Once archived, the data will no longer be retrievable from the portal.
The GSTN’s advisory stresses the significance of maintaining proper financial records. In situations like audits, legal disputes, or financial planning, access to historical GST data could prove to be important. Taxpayers can avoid potential complications by downloading and securely storing their return data in advance.
As this monthly archival process is now in effect, taxpayers are encouraged to act swiftly and ensure they have the necessary data on hand. With proper management of GST records, businesses can stay compliant and well-prepared for any future financial needs.
According to experts, thanks to this new archival process, taxpayers can get more organised now and ensure they have the necessary data with them. Businesses can now stay compliant and well-prepared for any future financial needs, with proper management of GST records.
