ITAT Mumbai Updates GST Portal: QRMP Taxpayers Can Now File Refunds After GSTR‑3B Submission

 

🧭 Introduction

Great news for QRMP (Quarterly Return, Monthly Payment) scheme taxpayers! The GST portal now allows refund filings for invoices once GSTR‑3B has been submitted. This enhancement addresses a previous technical glitch barring refund claims before filing returns for the first two months of a quarter. Especially for small businesses and startups, this update by GSTN (Goods and Services Tax Network) means quicker access to working capital and smoother tax workflows.

Let’s unpack this update from ITAT Mumbai and understand what it means for you.

1. Background: QRMP Scheme & Refund Hurdles

The QRMP scheme allows taxpayers with turnover up to ₹5 crore to file returns quarterly and pay tax monthly. A key feature is the Invoice Furnishing Facility (IFF) — share invoices in months 1 & 2, and file GSTR‑3B in month 3.

However, until recently, the portal’s validation checks blocked refund claims if:

1. IFF invoices from M1/M2 weren’t linked to GSTR‑3B,

2. The system expected M1/M2 returns mid-quarter, confusing taxpayers. 

2. What Changed: GSTN’s System-Level Fix

✔️ System Validation Aligned

GSTN updated validations in May 2025, following Circular No. 125/44/2019‑GST, enabling refunds only after GSTR‑1 & GSTR‑3B for the period are filed.

🛠️ Technical Issue Resolved

Now, invoices furnished via IFF are recognized post‑GSTR‑3B, removing wrongful blocks. Refund claims during quarter transitions are processed correctly

📌 Current Refund Rule

Only include invoices in refund application that are:

• Furnished via IFF, and

• Covered in the filed GSTR‑3B return. 

3. Step-by-Step Guide: Filing Refunds Under QRMP

1. Ensure GSTR‑1/IFF submission for months M1 & M2.

2. File GSTR‑3B in M3 covering all invoices.

3. Initiate refund under “Refund” > “Application for Refund.”

4. Select period and invoices — only those in GSTR‑3B will appear.

5. Submit documents, double-checking all dates and values.

6. Track approval via portal dashboard or GST helpdesk.

This flow aligns with GSTN Advisory No. 608 issued on June 7, 2025 

4. Why This Update Matters

• Faster Refunds – Eliminate false blocks, smooth processing.

• Compliance Alignment – Meets legal requirements and portal logic.

• Real-World Benefit – Improved cash flow helps small businesses.

5. Real Example

1. March Quarter (Jan‑Mar):

   • IFF filed in Jan & Feb.

   • GSTR‑3B filed by April 20.

2. Refund Claim:

   • During April, taxpayer claims refund for an exported invoice in Jan.

   • Invoice accepted since GSTR‑3B covers it—refund approved by May.

6. Pro Tips to Avoid Rejections

• ⚠️ Do not include IFF invoices not in GSTR‑3B.

• ✅ Confirm all returns filed before refund.

• 📸 Keep screenshots of IFF and GSTR‑3B as proof.

• If stuck, contact GST Helpdesk at selfservice.gstsystem.in .

7. Benefits & Takeaways at a Glance

Feature	Before May 2025	After Update
Refund Filing Availability	Blocked during quarter	Allowed post-GSTR‑3B
Invoice Recognition (IFF)	Unrecognized	Recognized once GSTR‑3B filed
Validation Errors	High	Reduced
Cash Flow for Small Taxpayers	Delayed	Improved

✅ Conclusion

GSTN’s June 10, 2025 technical fix empowers QRMP taxpayers to claim refunds more efficiently, post‑GSTR‑3B filing. Aligning with Circular 125/44/2019 and Advisory 608, this change boosts compliance, reduces errors, and accelerates refund processing — a win for small and medium enterprises.

To claim your refund under QRMP:

1. File your IFF and GSTR‑3B returns on time.

2. Submit your refund claim post-final return.

3. Exclude invoices not in GSTR‑3B.

4. Contact GST Helpdesk if needed.

❓ FAQs

Q1: Can I file refund mid-quarter?
No, you must file GSTR‑3B first; portal blocks IFF invoices without it 

Q2: What if IFF invoice is pending in GSTR‑3B?
Don't include it in refund claim.

Q3: Can I file for previous quarter’s refund?
Yes, as long as returns are fully filed.

Q4: What if portal still blocks refund?
Ensure GSTR‑1, IFF, and GSTR‑3B are filed. Reach GST Helpdesk for support.

Q5: Who is exempt from this rule?
Composition taxpayers, non-residents, ISDs follow other forms (e.g. GSTR‑4, 5, 6) 

📣 Ready to File Your Refund?

Need help with refund filing, compliance checks, or GST guidance? Contact Manika FinTax Solutions today! Our expert team offers professional support to ensure accurate returns and timely refunds under the QRMP scheme.

Keywords: QRMP refund update, GST portal refund, GSTR‑3B QRMP, IFF invoice refund, QRMP refund filing, GSTN Advisory 608, GST refund Mumbai

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Disclaimer:
This article is for informational purposes only. For specific tax advice, consult a qualified professional.