GST Year-End Checklist for FY 2024-25: Compliance & Filing Guide

The financial year 2024-25 is coming to an end. A business owner must ensure to close the GST books with utmost precision and accuracy, because failing to do so can adversely impact the audit report. Also, it’s not just about avoiding the negative repercussions an organisation can face, it's about paving the way for a smooth transition into the next year.

For this, you need to have the compliance and filing guide that will ensure you tick all the GST compliance checkboxes for FY 2024-25. Read and find out a comprehensive 43-pointers GST checklist to avoid the last-minute hassles.

GST Checklist for a Seamless 2024-25 FY end Compliance

Turnover and tax liability

• Reconcile the turnover (including credit notes/debit notes) reported in books vis à vis GSTR-1 vs GSTR-3B
• Amend and rectify any mistakes or omissions made in GSTR-1 or GSTR-3B returns for the previous financial year by March 2025 returns
• e-Way bill and e-invoices data to be reconciled with the Sales Register (SR)
• Check and report other incomes, such as fixed asset sales and miscellaneous income
• Tax paid on advances received against services
• Realisation of export proceeds within one year
• Compliance of supply to merchant exporters (0.1%)

Input Tax Credit (ITC) availed and utilised

• Reconciliation of ITC General Ledgers (GLs) vis à vis balance appearing in electronic credit ledger on the GST portal.
• Review the expense ledgers for any expenses on which ITC is eligible but was missed claiming. For example: GST on bank charges.
• Reconciliation of ITC register vis à vis GSTR-2B:
  • ITC availed during the FY 2024-25 should match GSTR-2B
  • Reverse the ITC not appearing in GSTR-2B
• Follow up with vendors regarding any missing invoices and adopt the Invoice Management System (IMS) available on the GST portal to streamline the communication of incorrect purchase invoices/ITC for the financial year. Additionally, ensure timely resolution of invoices marked as 'Pending' in the IMS.
• Review of ITC utilisation entries passed in the books of accounts vis à vis the electronic liability ledger as per the GST portal.
• Ensure blocked ITC under Section 17(5) has not been claimed. If inadvertently claimed, ensure it is duly reversed in both the books and returns.
• Ensure the reversal of time-barred ITC claimed for FY 2023-24 was completed by 30th November 2024.
• Rule 37: Check for ITC reversal required on account of non-payment within 180 days or reclaim of any ITC regarding supplies for which payment has been made.
• Rules 42 and 43: Impact of annualised ITC reversal (excluding capital goods). Make the re-computation, if needed.
• Rule 37A: Though the timeline is 30th November 2025, ensure that the supplier on whose documents ITC is availed, has duly filed GSTR-3B for the respective months.
• Ensure obtaining mandatory Input Service Distributor (ISD) registration by 31st March 2025, if you have any common input services, both domestic and imported.
• ITC distribution by ISD: Ensure that ITC is correctly distributed to all the distinct persons.
• If capital goods are sold during the year, ensure that ITC reversal is computed according to the GST rules.

Liability under Reverse Charge Mechanism (RCM)

• Check the expenses side of the Statement of Profit & Loss (some mentioned below) to determine the RCM liability of the FY:
  • Security services
  • Advocate services
  • GTA transport services
  • DSA commission expenses
  • Rent-a-cab services
  • Renting of residential dwelling
  • Import of services
• Reconciliation of RCM payable GL vis à vis RCM paid during the year
• Reconciliation of RCM paid vis-à-vis RCM ITC availed, other than ineligible ITC
• Ensure RCM is paid on all the transactions wherever RCM is applicable as per the statute
• Reconciliation of RCM payable as per GSTR-2B vis à vis RCM paid during the year
• Real-estate clients shall procure 8% of the goods and/or services from a registered person and check the calculations along with specific provisions.

Tax deposited and closing balances

• Reconciliation of outward taxes reported in GSTR-1 with GSTR-3B
• Tax liability reported under RCM and the CGST Section 9(5) should be deposited in cash only
• Payment of 18% interest on delayed tax payment by debiting electronic cash ledger under Section 50 of the CGST Act
• Reconcile closing balances of electronic cash/credit ledger with books of accounts

Unique Series of Documents

• Start a new unique series of numbering for documents such as
  • Invoices
  • Credit note
  • Debit note
  • Bill of supply
  • ISD invoices
  • Receipt voucher
  • Payment voucher
  • Refund voucher

Make sure the character limit is within 16.

Other Compliances

• Declarations are to be taken from the Goods Transport Agency (GTA) for opting to pay GST under Forward Charge for the FY 2025-26. These should be kept in record to justify the reason for non-payment of GST under RCM.
• Taxpayers must submit LUT for undertaking zero-rated supplies without payment of IGST for FY 2025-26, latest by 31st March 2025.
• File Remission of Duties and Taxes on Exported Products (RoDTEP) annual return for FY 2023-24 by 31st March 2025
• Update the Importer-Exporter Code (IEC) on the Directorate General of Foreign Trade (DGFT) portal between April to June 2025.
• Applicability of e-invoicing and 6-digit HSN reporting depending upon Aggregate Annual Turnover (AATO) of previous financial year
• Applicability of 30-day limit for generating e-invoices in case of ₹ 10 crore or above turnover in the previous financial year
• Filing of ITC-04 for October’24 - March’25 before 25th April 2025
• Review refund applications for expiration beyond a two-year period
• Goods sent on approval basis - Check six-month time limit for return
• Job Work- Check the time limit for the return of goods
  • Inputs - 1 year
  • Capital goods - 3 years
• Reconciliation of TDS/TCS credit availed

Keeping this ready reckoner by Team Clear handy, would help you and your finance team sail through the nitty gritties of financial year end without getting exhausted.