7 common mistakes to avoid while filing GST

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Accurate filing of GST returns is essential to avoid reconciliation issues and ensure compliance. This article provides an overview of GST Common Mistakes to avoid.

GST Common Mistakes to avoid

Providing Incorrect Invoice Details

One of the key errors businesses often make when doing GST Return Filing is offering inaccurate information on invoices.

To prevent penalties and ensure compliance, it is crucial to carefully verify all invoice details, including the GSTIN of the seller and buyer, invoice number, date, and value.

By diligently reviewing these particulars, you can avoid any discrepancies that may arise during the filing process.


Neglecting Input Tax Credit (ITC) Reconciliation

Another frequent mistake businesses encounter is failing to reconcile Input Tax Credit (ITC) while filing GST.

It is important to match the invoices uploaded by suppliers with the purchases made by your business.

Any discrepancies in claiming ITC can result in additional tax liabilities and unnecessary complications.

Regularly reconciling your ITC ensures accurate reporting and maximizes your tax benefits.

Using Incorrect HSN or SAC Codes

HSN (Harmonized System of Nomenclature) and SAC (Services Accounting Code) are vital codes for classifying goods and services for GST purposes.

Errors in assigning the appropriate HSN or SAC codes can lead to incorrect tax calculations and non-compliance.

To avoid such mistakes, it is advisable to refer to the official GST portal or consult professionals who can accurately determine the applicable codes.

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Failure to Seek Professional Advice

One of the most significant mistakes businesses make is disregarding the need for professional guidance when filing GST.

The GST landscape is complex, with frequent updates and changes.

Seeking assistance from experts who possess extensive knowledge and experience in GST can provide invaluable insights, help you navigate legal requirements, and optimize your tax planning strategies.

By leveraging professional advice, you can stay ahead of the game and ensure a seamless GST Return filing process.

Delayed or Non-Filing of Returns

Filing GST returns in a timely manner is crucial for maintaining compliance and avoiding penalties.

Many businesses make the mistake of either filing returns late or not filing them at all. Such oversights can result in significant fines and legal complications.

To ensure you meet the filing deadlines, it is recommended to set up reminders, establish a streamlined process, and leverage technology tools that automate return filing.

Insufficient Documentation

Maintaining comprehensive and up-to-date documentation is essential for a smooth GST filing experience.

Neglecting proper documentation can lead to challenges during audits and potential penalties.

Be sure to organize your invoices, purchase records, and other supporting documents systematically.

With a well-organized and online accounting and bookkeeping system, you can avoid unnecessary stress and successfully demonstrate compliance when required.

Overlooking the Reverse Charge Mechanism (RCM)

Businesses often fail to consider the importance of the Reverse Charge Mechanism (RCM) in GST, especially when the supplier is not liable for tax payment.
Ignoring RCM obligations can lead to non-compliance issues.
It is crucial to identify transactions subject to RCM and fulfill the necessary tax payments accordingly.
By remaining attentive and understanding RCM applicability, you can avoid penalties and maintain compliance.


These are some common mistakes that businesses make and get in lots of unnecessary trouble. There are also some more rare mistakes that you might be making. Thus, it’s best that you consult GST experts or at least stay in touch with them from time to time to accurately file your GST Returns and reap the complete benefits of GST.

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Moreover, If you want any other guidance relating to GST 7 common mistakes, Please feel free to talk to our business advisors at 8881-069-069.

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