What is GST Nil Return?
A GST Nil Return is a GST return filed when a registered taxpayer has no outward supplies (sales), no inward supplies (purchases), and no tax liability during a particular tax period. Even if there are zero transactions in a month or quarter, GST-registered businesses are still legally required to file their returns — failing to do so attracts late fees.
Nil returns must be filed for both GSTR-1 (outward supplies) and GSTR-3B (summary return) for each applicable period. The government also allows filing nil GSTR-1 via SMS on mobile for added convenience.
When is a Nil Return Required?
| Situation | Action Required |
|---|
| No sales or purchases during the month | File Nil GSTR-1 and Nil GSTR-3B |
| Business is seasonal (off-season months) | File Nil returns for inactive months |
| Business is temporarily closed | File Nil returns until cancellation is obtained |
| New registration but no business started yet | File Nil returns from registration date |
| Transactions on hold due to disputes | File Nil returns for the disputed period |
Returns to File as Nil
| Return | Frequency | Due Date | Late Fee (Nil Return) |
|---|
| GSTR-1 (Nil) | Monthly / Quarterly | 11th / 13th of next month | ₹50/day (max ₹10,000) |
| GSTR-3B (Nil) | Monthly / Quarterly | 20th / 22nd-24th of next month | ₹20/day (max ₹500) |
Filing Nil GSTR-1 via SMS
The GST portal allows taxpayers to file Nil GSTR-1 through SMS — a quick and convenient option:
- Send SMS: NIL R1 [GSTIN] [Tax Period] to 14409
- Example: NIL R1 27XXXXX1234X1Z5 032024 (for March 2024)
- Receive a 6-digit code via SMS
- Reply with the code to confirm filing
- Receive filing confirmation with ARN
