GST Compliance Rules FY 2025–26: What Every Taxpayer Must Know
The GST compliance rules FY 2025–26 have undergone significant updates. If you’re a business owner, CA, or consultant, keeping up with these changes is essential to avoid penalties and ensure smooth operations.
This guide simplifies the key updates, step-by-step processes, and expert-backed insights on staying compliant under the new GST regime.
What’s New in GST Compliance for FY 2025–26?
Here’s a quick rundown of key changes effective from April 1, 2025:
| Area | What’s Changed |
|---|---|
| GSTR-1 & 3B Filing | Timelines remain monthly/quarterly, but scrutiny on mismatches has intensified |
| Amnesty Scheme | Section 128A introduced to waive late fees for 2017–2020 filings |
| Restaurant Services | Clarified GST on hotels with room rent > ₹7,500/day (Notification No. 05/2025-CT) |
| Registration Cancellation | Auto-cancellation timelines now tighter for non-filers (Circular 248/05/2025-GST) |
| ITC Claims | ITC can now be blocked for fraudulent vendors as per Rule 86B updates |
Key GST Compliance Rules FY 2025–26 (With Legal Backing)
- Timely filing of returns (GSTR-1, GSTR-3B, GSTR-9): Delays can trigger cancellation under Rule 21A.
- Correct HSN Code usage: Mandatory for B2B invoices exceeding ₹50 lakh, per Notification No. 78/2020–Central Tax.
- Reversal of ITC under Rule 37 if payment to suppliers is not made within 180 days.
- E-invoicing mandatory for businesses with turnover above ₹5 crore (as per latest CBIC rollout).
- Rule
Step-by-Step GST Checklist for FY 2025–26
- Review vendor compliance before claiming ITC
- File GSTR-1 & 3B by due dates consistently
- Reconcile books with GSTR-2B monthly
- Use correct HSN/SAC codes
- Avoid cash deals above threshold limits
- Regularly check GST portal for notices under Rule 88C/142