The 31st GST Council meeting had settled on introducing a new GST return filing model on a trial basis. So as to ease the progress to the new GST return filing system, a transition plan has been worked out.
Presently, there’s a major trial for the taxpayers having GST registration, and that is to migrate to the newly introduced GST return filing system. Hence, the government has now presented a transition plan to the new GST return filing system.
First of all, we must understand in depth about the new GST return filing system.
The new GST return filing format was already updated on the GST portal in the month of May 2019 for all the general taxpayers who have GST registration. In this new GST return filing format, there would be 3 crucial returns to be filed:
The GST ANX-1 is the annexure which is to be filed for the 3 month trial period, i.e. from July to September 2019.
The large taxpayers whose yearly turnover in the previous year was exceeding Rs. 5 Crores would have to furnish GST ANX-1 on a month to month basis.
The GST ANX-2 is another annexure with FORM GST RET-1.
Importantly, from October 2019 onwards, FORM GST ANX-2 shall replace FORM GSTR-3B.
Till the transitional period, which is from July to September 2019, the new GST return filing system (FORM GST RET-1 with Form GST ANX-1 and ANX-2) would be implemented only on a trial basis. This is just to make the taxpayers habitual to the new GST return filing system.
However, after October 2019 the new GST return filing model shall be made mandatory throughout India wherein-
No. This pilot project of GST return filing at the back end won’t really have a much bigger impact on the GST tax liability or the GST ITC of the taxpayers having GST registration.
To sum up, during this transition period,