How to validate a bank account on the GST portal?

Validating a bank account on the GST portal is a crucial step for businesses and individuals looking to ensure smooth and error-free GST compliance. This process helps verify the legitimacy of the bank account associated with your GST registration, which is essential for tax refunds, payments, and other financial transactions related to GST. 

GSTN issued an advisory on 22^nd October 2024 about the validation of bank account details while adding a bank account as a non-core amendment.

Let’s understand the changes!

Advisory dated 22^nd October 2024

Attention: Validation of bank account details while adding bank account as a non-core amendment 

Dear Taxpayer, GSTN has implemented a validation process for cases where a taxpayer attempts a non-core amendment to update bank account details. Taxpayers are requested to follow the procedure outlined below while adding bank account details on the portal. 

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(i) When the bank account details are entered, the taxpayer is required to click on the “VALIDATE ACCOUNT DETAILS” button.

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(ii) Prior to clicking the "Validate Account" button, the "Save" button at the bottom of the screen as shown remains disabled.

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(iii) The "Save" button will become active only after the "Validate Account Details" button is clicked. 

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Thanks, Team GSTN

Key Highlights of the advisory

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• New Validation Process: GSTN has implemented a validation process for adding or updating bank account details during non-core amendments.
• Step-by-Step Procedure: Taxpayers must click the “VALIDATE ACCOUNT DETAILS” button after entering their bank details. Then save the record.
• Error Handling: If validation fails, ensure that the details entered are correct and reattempt the validation process.

Conclusion

In conclusion, the introduction of the bank account validation process on the GST portal aims to streamline the process of updating bank account details while ensuring greater accuracy and minimizing errors. This added step in the non-core amendment procedure ensures that only valid and verified bank account details are linked to your GST registration, reducing potential complications with payments, refunds, and other financial transactions under GST. 

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