FAQs > Form GSTR-7

About Form GSTR-7

1. What is Form GSTR-7?

Form GSTR-7 is a return which is required to be filed by the persons who deduct tax at the time of making/crediting payment to suppliers towards the inward supplies received. Tax deductor has a legal obligation:

2. Who needs to file Form GSTR-7?

As per section 51 of the CGST Act, following persons/entities/establishments are required to deduct TDS.

1.     a department or establishment of the Central Government or State Government;

2.     local authority;

3.     Governmental agencies; and

4.     such persons or category of persons as may be notified by the Government on the recommendations of the Council.

3. By when do I need to file the Form GSTR-7?

The due date for filing Form GSTR-7 is 10th day of the succeeding month.

4. From where can I as Deductor file Form GSTR-7?

Form GSTR-7 can be accessed on the GST Portal, post login in the Returns Dashboard by the taxpayer.

The path is Services > Returns > Returns Dashboard.

5. Is there any Offline Tool for filing Form GSTR-7?

Yes. GSTR 7 return can be filed through offline mode also.

6. Can the date of filing of Form GSTR-7 be extended?

Yes, date of filing of Form GSTR-7 can be extended by Government through notification.

Pre-conditions of Filing Form GSTR-7

7. What are the pre-conditions for filing Form GSTR-7?

Pre-conditions for filing of Form GSTR-7 are:

Nil Form GSTR-7

8. Do I need to file Form GSTR-7 even if no TDS is deducted in the tax period?

It is not mandatory to file nil return, in such case.

 

Form GSTR-7 Dashboard

9. When will the GENERATE SUMMARY and COMPUTE LIABILITY buttons be visible on the GSTR-7 dashboard?

10. What is the difference between GENERATE SUMMARY and COMPUTE LIABILITY options?

If you click on GENERATE SUMMARY button after saving data in Table 3 and 4, then all tiles in GSTR-7 dashboard will be updated and PROCEED TO FILE button will be enabled. However, if you log out without filing GSTR-7 and tries to file it later then you need to again click on GENERATE SUMMARY button to re-generate the summary on all tiles and to re-enable PROCEED TO FILE button.

 

While in compute liability option, after saving data in Table 3 and 4, all the tiles in GSTR-7 dashboard get automatically updated without clicking on the COMPUTE LIABILITY button.

Table 3 of GSTR-7

11. Can I add new invoices under the same or a different GSTIN?

Yes, you can add new invoices under the same GSTIN or under a different GSTIN altogether.

12. Can I edit or delete invoices in Table 3 after saving them?

Yes, invoices once added and saved in Table 3 can be edited or deleted any number of times before filing GSTR-7.

13. Are negative values allowed in Table 3?

No, negative values are not allowed in Table 3.

14. Is late fee waived for Nil GSTR-7 filings?

Late fee is waived only for Nil Table 3 of GSTR-7.

Table 4 of GSTR-7

15. What are the key rules for amending invoices in Table 4?

Here are the key rules for amending invoices in Table 4:

16. What are the tabs available in Table 4 of GSTR-7?

Table 4 of GSTR-7 consists of two tabs:

17. What is the difference between the "Uploaded by Deductor" tab and the "Rejected by Deductee" tab in Table 4 of GSTR-7?

Uploaded by Deductor: To amend individual invoices on which no action has been taken by deductee in TDS and TCS Credit Received. Multiple amendments of invoice/record is allowed under this tab.

 

Rejected by Deductee: This tab will display list of all invoices rejected by Deductee. Multiple amendments are allowed under this tab.

18. I amended a record in a month. Can I amend the record again under the "Uploaded by Deductor" tab?

Yes, you can amend the same record again under the "Uploaded by Deductor" tab as long as no action has been taken by the deductee in TDS and TCS Credit Received.

 

19. What functionalities are available during amending of Table 4?

All revised and amount fields are amendable in Table 4:

a) Revised GSTIN of Deductee 
b) Revised Amount paid to deductee
c) Revised Invoice/ document no.
d) Revised Invoice/ document date (DD/MM/YYYY)
e) Revised Invoice/document value (₹)
f)  IGST (₹)
g) CGST (₹)
h) SGST/UTGST (₹)

20. What functionalities are disabled during editing of Table 4?

During the Edit mode, the following revised fields are disabled and cannot be modified:

a) Revised GSTIN of Deductee

b) Revised Invoice/Document Number

c) Revised Invoice/Document Date (DD/MM/YYYY)

 

21. Can I report all three tax heads (IGST, CGST, SGST/UTGST) for the same invoice?

Yes, you are allowed to report IGST, CGST, and SGST/UTGST simultaneously for a single invoice in Table 3.
There is no restriction based on the 2% TDS rate while adding the invoice.

 

But total tax amount (IGST + CGST + SGST/ UTGST) should be less than or equal to value reported in ‘Amount paid to the deductee on which tax is deducted’ field (irrespective of invoice value).
 

CGST amount must be equal to SGST amount.

Entering Details in Tables of Form GSTR-7

22. How can I discharge my TDS liability?

TDS liability can be discharged through Electronic Cash Ledger only at the time of filing return.

23. Can the deductee take action on the TDS credit declared by me?

The deductee can accept/ reject the TDS details auto-populated to TDS and TCS Credit received table of his/her return. Taking action by deductee is mandatory for crediting the amount of TDS to cash ledger.

24. When TDS amount will be credited to deductee’s Electronic Cash Ledger?

TDS amount will be credited to deductee’s Electronic Cash Ledger only after his/ her accepting of TDS and TCS credit received (which is auto populated on filing of returns by the deductor) and filing of this relevant form.

25. What will happen if the TDS credit entry is rejected by the deductee?

TDS credit entries rejected by the deductee will be auto-populated into Table 4 of Form GSTR-7 and the relevant details will be required to be amended by the deductor in Form GSTR-7 of next tax period. Post correction of such details in Form GSTR-7, the data will automatically flow to concerned GSTIN (supplier) for accepting or rejecting it. This process will be repeated until TDS details are accepted by counter-party.

26. What will happen if the TDS credit entry is rejected by the deductee?

The TDS credit entries rejected by the deductee will be auto-populated into Table 4 of Form GSTR-7 of next tax period of the deductor and the relevant details will be required to be amended by the deductor. Post correction of such details in Form GSTR-7 by the deductor, the data will automatically flow to TDS/TCS credit form of the deductee, for accepting or rejecting the same. This process will be repeated until TDS details are accepted by the deductee.

 

Note: If details are auto populated in table 4 under ‘rejected by deductee’ tab interest will be levied on differential amount, if TDS amount is increased.  

27. I made no deductions during the tax period, however there is a rejected record in that tax period, do I need to file the return?

No, it is not necessary to file return for a tax period in which you have not made any deductions, even if there are rejected records in that month. The record will be auto-drafted in the subsequent tax period for which you intend to file the return, wherein you would be able to amend the rejected records in Table-4 of Form GSTR-7.

 

For example: Let us assume that the deductor doesn’t have any TDS deductions for the month of April, 2020, but there is a rejected record in that tax period. In such case, it is not necessary to file Form GSTR-7 for April, 2020 by the deductor.

In case the deductor has tax liability for the month of May, 2020, then in that tax period, the deductor can take action on such rejected records and file Form GSTR-7 for May 2020.

Filing & Paying Late Fee

28. Is there any late fee or interest levied on filing of GSTR-7 return beyond the due date?

Yes, late fee and interest are charged on filing of Form GSTR-7 beyond the due date. No late fee will be computed for delayed filing of Nil GSTR-7 from October 2024 return period. However, Form GSTR-7 need not be filed, if you have not deducted tax at source in a particular tax period.

For example: Let us assume that the deductor doesn’t have any TDS deductions for the month of April, 2020, in such case it is not necessary to file Form GSTR-7 for April 2020. 

29. When can a taxpayer file a Nil GSTR-7?

A taxpayer can file Nil GSTR-7 only if no entry exists in Table 3 and 4. In other words, a taxpayer can file Nil GSTR-7 for a tax period/ month in which neither TDS is deducted by the deductor (i.e. no records are there in Table 3) nor any records (including rejected records) are visible in Table 4. 

 

If any rejected records are visible in Table 4 of GSTR-7 then the taxpayer will not be allowed to delete any rejected records and file Nil GSTR-7. Taxpayer will be required to take appropriate action on the rejected records and then proceed with the filing of GSTR-7. 

30. How can I offset my liabilities?

You can offset the liabilities by clicking the table 5&6. Payment of Tax tiles.

Previewing & Signing Form GSTR-7

31. What are the modes of signing Form GSTR-7?

You can file Form GSTR-7 using DSC, or EVC.

 

Digital Signature Certificate (DSC)

Digital Signature Certificates (DSC) are the digital equivalent (that is electronic format) of physical or paper certificates. A digital certificate can be presented electronically to prove one’s identity, to access information or services on the Internet or to sign certain documents digitally. In India, DSC are issued by authorized Certifying Authorities. The GST Portal accepts PAN based DSC’s only.

 

Electronic Verification Code (EVC)

The Electronic Verification Code (EVC) authenticates the identity of the user at the GST Portal by generating an OTP. The OTP is sent to the mobile phone number of the registered mobile phone of Authorized Signatory filled in part A of the Registration Application.

32. Can I preview the Form GSTR-7 before filing?

Yes, you can see the preview of Form GSTR-7 by clicking on ‘Preview Draft GSTR 7’ before filing on the GST Portal.

Post Filing of Form GSTR-7 

33. What happens after Form GSTR-7 is filed?

After Form GSTR-7 is filed: