GST Portal Updates: Filing Refund Applications for QRMP Taxpayers

Refund Filing Alert for QRMP Taxpayers: GST Portal Now Checks Return Status Before You Can Apply

What Changed—and Why It Matters

If you’ve been planning to file a GST refund, here’s a critical update you shouldn’t miss. Since May 2025, the GSTN has rolled out a system validation rule that directly affects refund filings: your application won’t go through unless all relevant GSTR-1 and GSTR-3B returns are submitted up to the date of your refund claim.

This is in line with Para 6 of Circular No. 125/44/2019-GST, issued back in November 2019—but it’s now actively enforced through the system.

Who Does This Impact? This rule applies across the board—including special taxpayer categories:

Composition taxpayers (must file CMP-08/GSTR-4)
Non-resident taxable persons (GSTR-5)
Input Service Distributors (ISDs) (GSTR-6)

But the real confusion recently arose for QRMP taxpayers—small businesses filing GSTR-3B monthly but GSTR-1 quarterly using the Invoice Furnishing Facility (IFF).

The Glitch QRMP Users Faced

Soon after the update, many QRMP taxpayers found themselves blocked from filing refunds—even though they believed all returns were in order.

Here’s what went wrong:

The system didn’t recognise IFF uploads for the first two months (M1 and M2) of a quarter.
As a result, taxpayers were wrongly prompted to file GSTR-1s for those months—even though GSTR-1 is filed only once at the end of the quarter under QRMP.
This confusion meant refund claims on valid invoices were stuck in limbo, especially during quarter transitions.

What’s Been Fixed Now?

Thankfully, GSTN has stepped in with a fix. The system now correctly allows:

Refund filing for invoices reported via IFF, as long as the corresponding GSTR-3B return has been filed.
Recognition of IFF invoices and quarterly GSTR-1 as valid, provided return submission is complete up to the application date.

In short: if your GSTR-3B is filed, and the invoice is in the IFF or quarterly GSTR-1, you can now apply for the refund—without being blocked.

Key Tip for QRMP Filers

Before claiming a refund, make sure of this:

The invoice must appear in IFF (or quarterly GSTR-1) AND the related GSTR-3B must be filed.

Otherwise, your refund claim will not go through—even if the invoice is genuine.

Best Practices Going Forward

Here’s how QRMP taxpayers can avoid trouble during refund filing:

File all due GSTR-3Bs and GSTR-1s before initiating a refund application.

If you use IFF for M1 and M2, double-check that these invoices carry over correctly into the quarterly GSTR-1 and match the GSTR-3B figures.

For technical errors or blocked applications, raise a ticket with the GST Helpdesk—and don’t forget to attach screenshots and reference numbers for faster response.

Still unsure if you’re eligible for a refund or stuck in a system error?

It’s always best to consult your GST consultant or CA. The compliance process is improving, but small missteps can still cost you time—or cash flow.