GSTR-5: Complete Guide for Non-Resident Taxpayers: Filing, Format & 2026 Due Dates

Who Is a Non-Resident Taxable Person (NRTP)?

Under the GST law, a Non-Resident Taxable Person is a person who occasionally undertakes transactions involving the supply of goods or services or both in India, whether as principal, agent, or in any other capacity, but who has no fixed place of business or residence in India.

In practical terms, common examples of NRTPs include:

• a foreign company participating in an Indian trade exhibition for a limited period
• an overseas training institution conducting a paid workshop in India
• a foreign artist or event organiser making taxable supplies during a short visit to India
• an international brand selling goods at an expo, fair, or conference in India
• a foreign manufacturer temporarily exhibiting and supplying products in India

NRTPs should not be confused with:

• Casual Taxable Persons (CTPs) , who may be based in India but make occasional taxable supplies in a state where they do not have a fixed place of business
• OIDAR service providers, who supply online information or database access or retrieval services from outside India and file GSTR-5A, not GSTR-5

This distinction matters because registration rules, filing obligations, due dates, and ITC treatment are not the same for all these categories.

NRTP GST Registration: Form GST REG-09

A non-resident taxable person cannot begin taxable business activity in India first and register later. The law requires such a person to obtain GST registration in advance. The application is made in Form GST REG-09 .

The registration process for an NRTP is different from the process followed by regular Indian businesses. This is because NRTP registration is temporary and is linked to a specific period of business activity in India.

Registration Process

Step 1: Apply in Form GST REG-09 on the GST portal before commencing business in India. The practical compliance position is that this should be done at least 5 days before starting business activity.

Step 2: Appoint an authorised signatory who is resident in India. This is important because the GST return must be verified and filed through the authorised signatory.

Step 3: Deposit advance tax equal to the estimated tax liability for the registration period. This amount is deposited upfront and later adjusted when GSTR-5 is filed.

Step 4: Obtain the temporary GST registration certificate . The certificate remains valid for the period specified in the application or 90 days from the effective date of registration, whichever is earlier.

Documents Usually Required

A practical registration set generally includes:

• passport or foreign identity proof of the applicant
• proof of proposed business activity in India
• exhibition booking, event document, contract, or similar business proof
• authorised signatory details
• proof relating to the advance tax deposit
• bank details where relevant for refund handling

Advance Tax Deposit: A Unique NRTP Requirement

This is one of the most important parts of NRTP compliance.

Unlike regular taxpayers, an NRTP must deposit advance tax equal to the estimated tax liability for the entire registration period. This is not optional. It is built into the registration framework itself.

The advance deposit is credited to the Electronic Cash Ledger . When GSTR-5 is filed, the actual tax liability for the period is computed and adjusted against the balance available in that ledger. If the deposit is less than the final liability, the shortfall must be paid. If the deposit is more than the final liability, the excess may be claimed back, subject to proper return filing and the applicable refund process .

This requirement makes NRTP compliance very different from normal GST compliance for resident businesses. For a regular taxpayer, tax is usually paid after business activity and return preparation. For an NRTP, tax planning begins at the registration stage itself.

How Advance Tax Deposit Works

Example

Suppose an NRTP expects to make taxable supplies of ₹25,00,000 during a short exhibition in India and estimates GST liability at ₹4,50,000. That estimated liability must be deposited upfront at the time of registration.

This has a direct cash flow impact. The taxpayer must block funds in advance before business starts. That is why the advance tax estimate should be realistic. If it is too low, additional payment will be needed later. If it is too high, excess balance may remain locked until return filing and refund processing are completed.

The advance tax deposit is a payment mechanism and not a substitute for ITC. ITC eligibility is governed separately by the GST law and remains highly restricted for NRTPs

Extension of NRTP Registration: Form GST REG-11

If the NRTP’s activities in India continue beyond the original registration validity, the registration can be extended. 

The registration is initially valid for the period stated in the application or 90 days, whichever is earlier. It can be extended for a further period, subject to the law, by filing Form GST REG-11 before the current validity expires.

Extension Process

• Form: GST REG-11
• When to apply: Before the expiry of the current registration period
• Additional deposit: Additional advance tax must be paid for the extended period
• Maximum further period: Up to 90 days, subject to legal conditions and approval

This point matters because many taxpayers wrongly assume that temporary business activity can simply continue and be regularised later. That assumption is risky. If the original validity expires before extension is applied for, the taxpayer can create avoidable compliance exposure.

Who Must File GSTR-5?

GSTR-5 must be filed by every person registered as a Non-Resident Taxable Person for each tax period during which the registration remains active.

This includes:

• non-resident individuals making taxable supplies in India
• foreign companies carrying out temporary commercial activity in India
• overseas sellers participating in trade fairs, exhibitions, or expos
• foreign service providers physically present in India on a temporary basis, where the activity falls within the NRTP framework

Who Does Not File GSTR-5?

• Overseas OIDAR providers filing GSTR-5A
• Regular resident taxpayers filing forms such as GSTR-1 and GSTR-3B
• Indian casual taxable persons who fall under the separate CTP framework

This distinction is important because GSTR-5 and GSTR-5A are often confused, especially when people compare due dates or try to understand which foreign businesses fall under which return.

Why Is GSTR-5 Important?

GSTR-5 matters for several reasons.

• First, it is the return through which GST authorities can assess whether the NRTP has properly disclosed taxable supplies made during the registration period in India.
• Second, recipient-side credit visibility depends on accurate reporting. If outward supply details are wrongly reported or not filed in time, Indian buyers may face matching or reconciliation issues.
• Third, the advance tax deposit and actual tax liability are ultimately matched through this return. Without proper filing, the taxpayer cannot cleanly close the loop between estimated payment and actual tax liability.
• Fourth, if the NRTP has excess balance eligible for refund, return filing becomes essential because excess advance deposit is not something the taxpayer can treat casually as recoverable without compliance.

GSTR-5 Due Dates and Filing Timeline

For current periods, GSTR-5 is generally due on the 13th of the following month.

Standard Due Date

The 7 Day Rule

GSTR-5 is generally due on the 13th of the following month, but if the registration expires or the business closes earlier, the return must be filed within 7 days of that earlier event.

The 7 day filing requirement applies where the registration validity ends or the business closes before the normal monthly due date.

Worked Example of the 7 Day Rule

The 7 Day Rule

GSTR-5 is generally due on the 13th of the following month, but if the registration expires or the business closes earlier, the return must be filed within 7 days of that earlier event.

The 7 day filing requirement applies where the registration validity ends or the business closes before the normal monthly due date.

GSTR-5 Form Format: Main Sections Explained

The GSTR-5 return is structured to capture both transaction details and settlement details.

The 7 Day Rule

GSTR-5 is generally due on the 13th of the following month, but if the registration expires or the business closes earlier, the return must be filed within 7 days of that earlier event.

The 7 day filing requirement applies where the registration validity ends or the business closes before the normal monthly due date.

ITC Eligibility for NRTPs: The Import-Only Rule

An NRTP can claim ITC only on goods imported by him . This restriction is much narrower than the general ITC framework followed by regular taxpayers.

Key consequences include:

So the core compliance rule is simple: an NRTP can claim ITC only on goods imported by him.

Practical Implication

If an NRTP imports display goods, samples, or equipment into India and pays IGST at customs, that IGST may be eligible as ITC. But GST paid on local hotel services , local transport, catering, domestic procurement, or other routine Indian expenses is not treated the same way for NRTP credit purposes.

B2B vs B2C Supply Reporting in GSTR-5

GSTR-5 requires outward supplies to be classified correctly based on the nature of the recipient and the reporting category.

B2B Supplies

Supplies made to registered persons should be reported with proper invoice-level details. This is important because such details affect the recipient-side inward supply visibility and can influence the buyer’s ITC reconciliation process.

B2C Supplies

Supplies made to unregistered persons should be reported in the relevant B2C section depending on the nature and value of the transaction as applicable under the form structure.

Note: Wrong classification does not just create a technical reporting issue. It can affect both the supplier’s liability reporting and the buyer’s ability to reconcile purchase information properly

Worked Example: Preparing a GSTR-5 Return

Scenario: XYZ Exports GmbH from Germany participates in a trade fair in Delhi for a limited period in November 2025. It registers as an NRTP, imports display goods worth ₹10,00,000, pays ₹1,80,000 as IGST at customs, and makes the following taxable supplies in India:

• B2B sales to registered distributors: ₹8,00,000
• B2C sales to unregistered visitors: ₹2,00,000
• Assume IGST on outward taxable supplies totals ₹1,80,000

Computation Illustration

Where the advance deposit exceeds the final liability after lawful adjustment, the excess balance may be claimed as refund through the permitted mechanism, subject to filing all required returns for the full validity period

Step by Step Filing Process on the GST Portal

GSTR-5 is filed online through the Returns Dashboard on the GST portal. There is no offline tool for this return.

Filing Steps

Step 1: Log in to the GST portal using the temporary GSTIN and credentials.
Step 2: Go to Services > Returns > Returns Dashboard.
Step 3: Select the relevant financial year and tax period.
Step 4: Open GSTR-5 and prepare the return online.
Step 5: Enter import details, outward supply details, amendment details, and other applicable information in the relevant sections.
Step 6: Review the system-computed tax liability.
Step 7: Use the available ledger balances to discharge tax liability.
Step 8: If an excess balance is eligible for refund, complete the relevant refund section.
Step 9: Preview the return carefully.
Step 10: File the return through the authorised signatory using the permitted verification mode.
Step 11: Download or save the acknowledgement for record purposes.

Late Fee, Interest and Penalty Structure

Delayed filing of GSTR-5 attracts a daily late fee of ₹50 (₹25 CGST and ₹25 SGST), which is reduced to ₹20 for Nil returns, capped at a maximum of ₹5,000 per return. In addition to these fees, interest at a rate of 18% per annum is levied on any outstanding tax liability, calculated from the day following the due date until the payment is cleared.
Beyond the immediate financial impact, delays create significant operational hurdles, including the blocking of subsequent filings, restricted access to tax refunds, and potential disruptions to Input Tax Credit (ITC) for recipients. Persistent non-compliance further risks the suspension or cancellation of GST registration and may trigger formal recovery notices from tax authorities.

Once the delay moves beyond routine late filing, the risk is no longer only financial. It can also lead to GST notices , which become much harder to handle when return records and tax positions are already weak.

Consequences of Not Filing GSTR-5

The best way to understand is:

The strongest practical point here is the refund restriction. If the required returns for the registration period are not properly filed, the taxpayer should not assume that excess advance tax can be recovered smoothly.

GSTR-5 vs GSTR-5A: Key Differences.

Note: GSTR-5 is not the return for foreign digital service providers supplying OIDAR services to Indian consumers. That is GSTR-5A.

Common Filing Errors to Avoid

Note: GSTR-5 is not the return for foreign digital service providers supplying OIDAR services to Indian consumers. That is GSTR-5A.

For businesses handling NRTP transactions, accounting software can support GSTR-5 preparation by organising invoice-level outward supply data, tracking import-related tax records, reviewing liability workings, and checking ledger balances before portal filing. If the underlying accounting entries are accurate, BUSY can help teams prepare cleaner data for compliance review and filing support.This is especially useful where there are import entries, short registration periods, or refund-related reconciliations involved. 

Conclusion

GSTR-5 may look like a niche return, but for the taxpayers who fall under it, the compliance requirements are strict and time-sensitive. A non-resident taxable person must register before starting business in India, estimate and deposit advance tax upfront, appoint an Indian authorised signatory, report imports and outward supplies accurately, and claim ITC only within the narrow scope allowed by law.

The most important practical point is the due date rule: while GSTR-5 is generally due on the 13th of the following month for current periods, the filing deadline can move earlier where the registration expires or the business closes first. The second major point is that refund of excess advance deposit is tied to proper return filing for the full registration period.

If these two principles are understood clearly, the rest of the compliance process becomes much easier to manage.