Tech glitch causes GST filing delay; taxpayers call for deadline extension

GST portal outages ahead of the January 11 deadline for December 2024 returns leave businesses struggling, with taxpayers urging an extension

With the deadline for December 2024 returns set for January 11, 2025, many Indian businesses are facing delays in filing their GSTR-1 returns due to ongoing technical issues on the Goods and Services Tax Network (GSTN) portal. Taxpayers are urging immediate action and requesting an extension of the filing deadline.

 

GSTN portal outage

On Friday, GSTN announced on X that the portal was undergoing maintenance due to technical difficulties and was expected to be operational by noon. However, taxpayers attempting to file their returns later encountered a new message stating that the portal would remain down until after 3 pm.

 

GST Tech wrote in a post on X:

 

“GST portal is currently experiencing technical issues and is under maintenance. We expect the portal to be operational by 12:00 noon.”

Subsequently, screenshots shared by users showed a notification stating:

 

“Scheduled Downtime! We are enhancing the services on the site. The services will not be available from 10th Jan 25 12:00 AM to 10th Jan 25 03:00 PM. Kindly come back later! In case of any queries, please call us at 1800-103-4786. We appreciate your cooperation and patience.”

 

The portal’s downtime disrupted critical functions such as filing GSTR-1 returns, accessing historical data, and responding to official notices. Despite GSTN’s efforts to resolve the issue, businesses remain concerned about meeting the filing deadline.

 

GSTN to consider deadline extension

While the Central Board of Indirect Taxes and Customs (CBIC) has not issued a formal notification, GSTN’s incident report suggests a possible deadline extension to January 13, 2025. This would provide additional time, particularly since January 11 falls on a Saturday, a non-working day for many multinational companies.

 

Responding to taxpayer concerns, GST Tech stated:

 

“CBIC (Central Board of Indirect Taxes and Customs) is being sent an incident report to consider extension in filing date… Thank you for your understanding and patience!”

 

Impact of filing delays

Delays in filing GSTR-1 returns can have a cascading effect on businesses. Since GSTR-1 data is essential for generating GSTR-2B, any delay can hinder buyers from claiming their Input Tax Credit (ITC). A disruption in GSTR-2B generation can force businesses to pay GST liabilities in cash, straining their cash flow—especially for companies with substantial input purchases.

 

As businesses await further announcements, the GSTN portal’s technical issues underscore the need for robust contingency planning to prevent such disruptions in the future.