Nil GSTR-1 Filing: When a Seller With No Sales Still Has to File

Yes, you file GSTR-1 even in a month with no sales. A nil GSTR-1 is for a period with no outward supplies, no credit or debit notes, no amendments and no advances. File it on the portal or by SMS to 14409. Miss it and the late fee is Rs 20 a day, up to Rs 500.

Why file a return that says nothing?

GST registration comes with a filing duty for every period, whether you sold or not. The return is how the department knows you had no sales, rather than sales you did not report. Skip it and the portal treats you as a non-filer: a late fee builds up, a reminder notice follows, and your next returns get stuck behind it. The full chain is in what happens if a GST return is not filed.

This matters most to new sellers. You may register, list your products and wait weeks for the first order. Those quiet months still need a return. If that is you, read what to do as a new seller with no orders.

When is your GSTR-1 really nil?

A GSTN advisory of August 2022 sets four conditions. All four must hold for the month or quarter.

The second and third lines catch online sellers out. You may have had no orders in October, but a buyer returned something from September. That return is a credit note, so October is not nil. Report it as explained in sales returns in GSTR-1.

How do you file a nil GSTR-1 on the portal?

1. Log in at gst.gov.in and open Services, then Returns, then Returns Dashboard.
2. Choose the financial year and the month or quarter, and click Prepare Online under GSTR-1.
3. Tick File NIL GSTR-1 at the top of the GSTR-1 page. The tables disappear and a note on nil filing appears.
4. Click File Statement at the bottom of the page.
5. Sign with your EVC, a one-time code sent to the authorised signatory's mobile, or with your DSC, a digital signature.

If you saved any data in GSTR-1 earlier for that period, the checkbox will not work. Delete the saved records or use the Reset button first.

How do you file it by SMS?

The GST portal's FAQ describes this route. It works for a normal taxpayer, as long as the mobile number of an authorised signatory is registered on the portal and no other signatory shares it.

1. Send NIL R1 GSTIN period to 14409. The period is the month and year as six digits, so October 2026 is 102026.
2. A quarterly filer gives the last month of the quarter. For July to September 2026, that is 092026.
3. You get a six digit verification code. It is valid for 30 minutes and works once.
4. Reply with CNF R1 code as a new message.
5. The portal sends an ARN, the acknowledgement number, by SMS and email.

Some limits apply. You can send it only from the 1st of the month after the period. Saved data on the portal blocks it. More than three wrong codes in a day blocks that number for 24 hours, though you can still file on the portal. Send HELP R1 to 14409 for the format.

What does a late nil return cost?

The law sets a late fee of up to Rs 100 a day under each Act. Notification 4/2018-Central Tax brought the central part down to Rs 10 a day for a period with no outward supplies. Notification 20/2021-Central Tax capped it at Rs 250 for tax periods from June 2021. With the matching State amount, a late nil GSTR-1 costs Rs 20 a day and stops at Rs 500.

A worked example. Your August 2026 GSTR-1, due on 11 September 2026, is nil. You file it on 6 October 2026. You are late from 12 September to 6 October, which is 25 days. At Rs 20 a day that is Rs 500, and you have reached the cap. Filing on 20 October would also cost Rs 500. A nil GSTR-3B for the same month carries its own fee, worked out in GST late fee for GSTR-1 and GSTR-3B.

One development to watch. On 8 October 2026 the GST Council recommended waiving the late fee for returns under section 39(1), for taxpayers up to Rs 5 crore turnover who file by the end of the month the return was due. Section 39(1) is the GSTR-3B section, not GSTR-1, and a recommendation is not law until it is notified. Do not count on it for GSTR-1.

The mistake sellers usually make

The first mistake is filing nil when the marketplace says otherwise. Marketplaces report your sales in their own TCS return, GSTR-8. If an order shipped late in the month shows in their report, a nil GSTR-1 from you will not match. Check your marketplace TCS figures before you file nil, and read GSTR-8 and GSTR-1 mismatch if they differ.

The second is filing nil by SMS when unsure. A nil GSTR-1 sent by SMS cannot be revised for that period. If you later find a sale, you report it in a later return as an amendment, which takes more work than getting it right the first time.

The third is staying registered with no business for months. If you have stopped selling for good, a tax expert can tell you whether cancelling the registration makes more sense than filing nil returns every month.

Frequently asked questions

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