In the 31st GST Council meeting it was recommended to introduce & implement a New GST Return in a phased manner wef October 2019 to facilitate taxpayers.
In the new GST Return System, there shall be three main components Form GST RET- 1 (Main Return) & two annexures (Form GST ANX-1 & Form GST ANX-2)
The current Form GSTR-1 shall be replaced by Form GST ANX-1 wef October 2019.
The large taxpayers whose aggregate turnover in the previous Financial Year was more than Rs 5 crores will upload GST ANX-1 monthly wef 1st October 2019.
Small Taxpayers whose aggregate turnover in the previous Financial Year was upto Rs 5 crores shall upload their first Form GST ANX-1 quarterly only in January 2020 for the quarter October 2019 to December 2019.
Invoices can be uploaded in Form GST ANX-1 on a continuous basis both by large & small taxpayers wef October 2019. This can be viewed by the recipient on a real time basis & the necessary action can be taken by him.
Matching tool will be made available to help the taxpayer match their Input Tax Credit on their Form GST ANX-2 & purchase register.
Inward supplies attracting reverse charge shall be reported only by the recipient.
For October 2019 & November 2019, large taxpayers shall continue to file their Form GSTR-3B on a monthly basis. They shall file their first GST RET-1 for the month of December 2019 by 20th January 2020.
The small taxpayers opting to file GST RET-1 on a quarterly basis shall stop filing GSTR-3B & shall start filing Form GST PMT-8 wef October 2019 onwards. They shall file their First Form GST RET-1 for the quarter October 2019 to December 2019 on or before 20th January 2020.
All taxpayers shall be deemed to file their returns in Form GSTR-1 monthly, unless the quarterly option is explicitly exercised by small taxpayers in the GST Portal.
In case of any newly registered taxpayers, the aggregate turnover shall be considered as Zero & they shall have the option to file a quarterly return.
Small Taxpayers can choose to file instead of Form GSTR RET-1, any of the other two quarterly returns, (SAHAJ, Form GST RET-2) or (SUGAM, Form GST RET-3).
Small Taxpayers who option to file quarterly returns shall pay their tax, either by cash or through ITC or both, on a monthly basis on the taxable supplies made during the month by filing GST PMT-08 for the first two months of the quarter.
Tax must be paid by 20th of the following month for the previous month.
There is also an option to file NIL return through SMS.
The amendment of details of earlier tax period can be made in Form GST ANX-1A only by the supplier. This must be done before the due date of September return following the end of the Financial Year or the actual date of furnishing the relevant Annual Return, whichever is earlier. Editing by supplier is allowed only if the recipient has not accepted such supply. If already accepted, unless this is reset or unlocked by the recipient details cannot be edited by the supplier.
Recipient filing monthly returns can accept details uploaded by the supplier till 10th of the following month. If the recipient is filing quarterly returns, then he can accept details uploaded by the supplier till the 10th of the month succeeding the quarter for which the return is filed.
Details of documents uploaded by the supplier will be auto populated in Form GST ANX-2 & recipient can either accept it, reject it or keep it pending This will be a continuous process.
Documents rejected by the recipient shall be conveyed to the supplier only after filing of return by the recipient.
Supplier may edit the rejected documents before filing the subsequent return. However credit may be made available to the recipient through the next Form GST ANX-2.
If the supplier does not file returns for consecutive two months, then this will be indicated in Form ANX-2 to the recipient & ITC will not be available for these invoices.
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