Under India’s GST system, different types of taxpayers have to file different returns. Most regular businesses file returns like GSTR-1 and GSTR-3B, but GSTR-5 is meant only for Non-Resident Taxable Persons (NRTPs) that is, foreign individuals or companies doing temporary business in India.

If you are a non-resident doing short-term business in India, you must file GSTR-5 every month. Since non-residents do not have a permanent office in India, GST law requires advance tax payment and monthly filing to keep things in order. For the December month, the last date to file GSTR-5 is 13 January 2026. Filing on time helps you avoid late fees, interest, and other legal problems.

Section / Rule
Simple Explanation

Section2(77), CGST Act 		Defines who is a Non-Resident Taxable Person (NRTP).
Section 24, CGST Act Mandatory GST registration for NRTPs.
Section 25, CGST Act Procedure for obtaining registration.
Section 39(5), CGST Act NRTPs must file monthly GSTR-5.
Section 17, CGST Act Input Tax Credit rules.
Section 47, CGST Act Late fee for delayed filing
Section 50, CGST Act Interest on delayed tax payment.
Sections 73 & 74, CGST Act Recovery and demand of unpaid taxes
Rule 13, CGST Rules Advance deposit of estimated GST at the time of registration for a NRTP
Rule 63, CGST Rules Filing process and due dates for GSTR-5
Form GST REG-09 Application form for NRTP registration


1. WHAT IS GSTR-5?


GSTR-5 is a monthly return filed by non-resident businesses to report their GST transactions in India. It is to be filed on the 13th of every month.


2.WHO IS A NON-RESIDENT TAXABLE PERSON (NRTP)?


  • A foreign individual or company that occasionally does business in India.
  • Engages in supplying goods or providing services in India for a short period.
  • Does not have a permanent office, shop, or fixed place of business in India.
  • Includes businesses doing short-term projects, exhibitions, events, or one-time contracts.
  • Even if the activity is temporary or small, GST registration is mandatory.
  • Must file monthly GSTR-5 returns while operating in India.

Key Legal Characteristics

  • The business is from outside India and is not a resident in India.
  • Activities in India are short-term or occasional, not regular or permanent.
  • There is no fixed office, shop, or business location in India.
  • GST registration is compulsory, even for small or temporary operations.

Example: A foreign company providing short-term consulting services in India without a permanent office.

3.NATURE AND CONTENTS OF GSTR-5


What the return includes:

  • Outward taxable supplies: Sales made in India.
  • Inward supplies received: Purchases from registered suppliers in India.
  • Imports of goods and services into India.
  • Input Tax Credit (ITC) availed during the period.
  • Tax liability and taxes paid for the month.

Accurate reporting of outward and inward supplies in GSTR-5 depends on issuing GST-compliant invoices.
Purpose:

  • Ensures that tax obligations from temporary business activities are correctly reported and settled.
  • Helps maintain compliance for foreign businesses operating short-term in India.



4.APPLICABILITY OF GSTR-5


GSTR-5 must be filed by:

  • All Non-Resident Taxable Persons (NRTPs) registered under GST
  • NRTPs providing taxable goods, services, or both in India temporarily.


Who does not need to file GSTR-5:

  • Regular resident taxpayers in India.
  • Businesses under the composition scheme.
  • Casual taxable persons who file GSTR-1 and GSTR-3B.


Note: NRTPs and casual taxable persons follow different rules and procedures, so it’s important to file the correct type of return.

5.REGISTRATION REQUIREMENTS FOR NON-RESIDENT TAXABLE PERSONS


  • GST registration is mandatory for all NRTPs, no matter how small the business or turnover.
  • Apply using Form GST REG-09 at least 5 days before starting business in India.
  • Registration is valid for a fixed period of up to 90 days, which can be extended if needed.
  • NRTPs must deposit the expected GST liability in advance for the period of registration.


6.HOW TO FILE GSTR-5 (STEP-BY-STEP)


  • Log in to the GST portal and open the Returns Dashboard.
  • Select the relevant tax period and choose Form GSTR-5.
  • Enter details of outward supplies, inward supplies, imports, and ITC.
  • Review the auto-calculated tax liability.
  • Adjust tax against the advance tax deposited and pay any balance, if required.
  • Submit and file the return using DSC or EVC by following the step-by-step filing process available on the official GST portal.
  • Once form is filed, ARN is generated and email is sent to the taxpayer.


7.DUE DATE FOR FILING GSTR-5


  • GSTR-5 must be filed every month by NRTPs.
  • Filing deadline: Within 13 days after the end of the month, or 7 days before the expiry of registration, whichever comes first.

Importance: Filing on time helps avoid late fees, interest, and other penalties.

8.INPUT TAX CREDIT UNDER GSTR-5


NRTPs can claim ITC on:

  • IGST paid on imported goods and services.
  • GST paid on inward supplies from registered suppliers in India.
  • ITC is only available while registration is valid.
  • Any unused ITC lapses once the registration period ends.

Example: A foreign company importing goods for a short-term project in India can claim ITC for GST paid, but if not used before registration expires, it cannot be carried forward.

9.LATE FEES, INTEREST, AND CONSEQUENCES OF NON-COMPLIANCE


If GSTR-5 is filed after the due date, a late fee applies.
How it is calculated:
Days of delay = Filing Date – Due Date
Late fee payable = Days of delay × Late fee per day
The fee is counted from the day after the due date until the date of filing.
The GST portal automatically calculates the late fee when filing.

Example:Suppose the due date for December GSTR-5 is 13 January 2026, but a Non-Resident Taxable Person files it on 18 January 2026.
Number of days of delay: 18 Jan – 13 Jan = 5 days
Late fee per day: ₹50 (₹25 CGST + ₹25 SGST)
Total late fee: 5 × 50 = ₹250
The GST portal will automatically calculate this late fee while filing.


CONCLUSION
GSTR-5 is a vital statutory return under the GST framework, ensuring proper reporting and tax compliance by non-resident taxable persons undertaking temporary business activities in India. Rooted in the CGST Act and Rules, timely and accurate filing of GSTR-5 is essential to avoid penalties, interest, and legal consequences.


At Tax-O-Smart, we simplify GST compliance for non-resident businesses with clear guidance, step-by-step instructions, and the latest updates on GST regulations. Whether you are a foreign company participating in exhibitions, providing short-term services, or executing one-time contracts, we ensure that your GSTR-5 filing is smooth, accurate, and fully compliant.

DISCLAIMER
The information contained in this document is prepared by R.J. Soni & Associates and TaxOSmart LLP (hereinafter referred to as RJSA) for information purpose only. It does not constitute any legal advice or tax advice. In no way, this document should be treated as a marketing material or efforts to solicit a client. While we have made every attempt to ensure that the information contained in this document is true, RJSA, its partners and/or any of its employees make no claims / guarantee about its accuracy, completeness, or up-to-date character, or warranty, express or implied, including the warranty of opinions expressed for a particular purpose, or assume any liability or responsibility for the accuracy, completeness, or usefulness of any information available from this document.