Annual Return Filing Waived for Small Taxpayers

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Major GST Relief

Notification No. 15/2025 – Central Tax: No GSTR-9 for Turnover Up to Rs. 2 Crore.

The Central Board of Indirect Taxes and Customs (CBIC) has delivered significant relief to small businesses operating under GST. Through **Notification No. 15/2025 – Central Tax**, the government has utilized its powers under the CGST Act, 2017, to provide an exemption from the mandatory annual return filing requirement.

Key Exemption Details and Applicability

The decision was based on the recommendations of the GST Council, aiming to simplify compliance for the vast majority of registered persons:

Applicability of the Exemption:

  • **Statutory Power:** The exemption is conferred by the first proviso to sub-section (1) of section 44 of the Central Goods and Services Tax Act, 2017.
  • **Effective Period:** This exemption is applicable in respect of filing of the annual return for the financial year 2024-25 onwards.
  • **Beneficiaries:** The registered person whose aggregate turnover in any financial year is up to two crore rupees is exempted from filing the annual return for that said financial year.

Practical Implications and Scope

This notification essentially means that taxpayers with an aggregate annual turnover not exceeding **Rs. 2 Crore** are no longer legally mandated to file Form GSTR-9 (Annual Return) starting from the financial year 2024-25. This step significantly reduces the compliance workload for MSMEs across India.

Professional Insight: Key Takeaway 💡

For all finance professionals and small business owners, this is a permanent procedural relief, effective from FY 2024-25 onwards. If your aggregate turnover falls below the **Rs. 2 Crore threshold** in a financial year, your company is exempt from filing the annual return. This frees up valuable resources, allowing a greater focus on accurate monthly reporting (GSTR-1 and GSTR-3B) which remains mandatory.

Source: Notification No. 15/2025 – Central Tax, CBIC, Dated: 17th September 2025.

Statutory Reference: First proviso to sub-section (1) of Section 44 of the Central Goods and Services Tax Act, 2017.

Location: Vijayawada, Andhra Pradesh, India

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