New simplified pattern of GST Return filing – 28th GST Council Meeting
On 21 July, 2018, the 28th GST Council meeting held under the chairmanship of Union Minister Shri Piyush Goyal. The Council’s one of major announcement was introducing the quarterly filing of GST returns. The idea to introduce to quarterly return filing was approved early in 27th meeting and was in development process.
Introduction of Quarterly filing of GST returns
The 28th council meeting major announcement was introducing the basic return filing mode i.e. quarterly return with monthly tax payment. From July, 2018 taxpayers will have option to opt for quarterly filing but they have to monthly deposit tax payable for each month.
Who can opt for quarterly filing?
The Council approved quarterly filing of return for the small taxpayers having turnover below Rs. 5 Cr as an optional facility. Quarterly return shall be similar to main return with monthly payment facility but for two kinds of registered persons – small traders making only B2C supply or making B2B + B2C supply.
All taxpayers excluding small taxpayers and a few exceptions like ISD etc. shall file one monthly return.
Two New returns to be file
For such, two new returns have been introduced, Sahaj and Sugam. In these returns details of information required to be filled is lesser than that in the regular return.
The 28th gst council meeting also given option to amend the invoices in new return filing design. Taxpayers will be able to amend invoices and other details filed in the return. In these returns details of information required to file is lesser than current gst returns.
The return is simple with two main tables. One for reporting outward supplies and one for availing input tax credit based on invoices uploaded by the supplier. Invoices can be uploaded continuously by the seller and can be continuously viewed and locked by the buyer for availing input tax credit. This process would ensure that very large part of the return is automatically filled based on the invoices uploaded by the buyer and the seller. Simply put, the process would be “UPLOAD – LOCK – PAY” for most tax payers.
File NIL Return via SMS
Taxpayers having no sale and purchase have facility to file NIL return by sending SMS.
Other important decisions taken at 28th GST Council meeting
Since, 93 % taxpayers in GST have turnover less than Rs 5 crore, these new return filing design will help such taxpayers and will benefit in ease doing of business.
The council also reduce GST tax rate on several 100 items. check Reduction in GST tax rate on several items.
The council also made several recommendations – click here
For more details visit – pib.nic.in