IS NIL FILLING OF GSTR 7 MANDATORY

Reply— Section 51 of the CGST Act 2017 provides for deduction of tax by the Government Authorities (Deductor) or any other person to be notified in this regard, from the payment made or credited to the supplier (Deductee) of taxable goods or services or both, where the total value of such supply, under a Contract, exceeds two lakh and fifty thousand rupees.

The amount deducted as tax under this section shall be paid to the Government by deductor within ten days after the end of the month in which such deduction is made alongwith a return in FORM GSTR-7 giving the details of deductions and deductees.

If there is no liability to deduct TDS during any month, there is no requirement to file GSTR-7.

As per FAQ published by CBIC in this regard—

Question— Do I need to file Form GSTR-7 even if no TDS is deducted in the tax period?

Reply— It is not mandatory to file nil return, in such case.