Summary of TDS under GST for April 2026 (GSTR-7 Due Date & Compliance)

Tax Deducted at Source (TDS) under GST is a critical compliance requirement for specified entities. As the new financial year begins, it is important to understand the due dates and compliance requirements for April 2026.

What is TDS under GST?

As per Section 51 of the CGST Act, 2017, certain notified persons are required to deduct TDS while making payments to suppliers of taxable goods or services.

Key applicability:

Government departments or establishments

Local authorities

Government agencies

Notified persons/entities

Threshold limit:

TDS is applicable when the contract value exceeds ₹2,50,000 (excluding GST)

TDS rate:

2% total (1% CGST + 1% SGST / 2% IGST)

Due Date for April 2026 (GSTR-7)

The return for TDS under GST is filed in Form GSTR-7.

Tax period: April 2026

Due date: 10th May 2026

This is in line with Rule 66 of the CGST Rules and GST return provisions, which prescribe that GSTR-7 must be filed by the 10th of the succeeding month 

Key Compliance Requirements

Entities liable to deduct TDS must ensure the following:

1. Deduction of TDS

Deduct TDS at the time of payment or credit to the supplier (whichever is earlier)

2. Deposit of TDS

Deposit the deducted amount with the Government within the prescribed timeline

3. Filing of GSTR-7

Monthly return containing:

TDS deducted

TDS payable and paid

Details of deductees

4. Issue of TDS Certificate

Certificate in Form GSTR-7A must be issued to the deductee

Late Fees and Interest

Non-compliance may attract penalties:

Late fee: ₹200 per day (₹100 CGST + ₹100 SGST), subject to a maximum of ₹5,000 

Interest: 18% per annum on delayed payment of TDS

Practical Points for Businesses

Ensure vendor contracts are reviewed for TDS applicability

Reconcile TDS entries with books and GST portal

File returns even in case of nil TDS (mandatory compliance)

Timely filing helps suppliers claim credit smoothly

Conclusion

For April 2026, the due date for filing GSTR-7 is 10th May 2026. Timely deduction, deposit, and reporting of TDS under GST are essential to avoid penalties and ensure smooth compliance.

For expert guidance on this topic, contact your tax professional today.