As per the 31st GST council meet, Goods and Services Tax will also be introduced for the taxpayers. This new GST return filing system will include straightforward return forms for GST return filing for taxpayers registered under GST. There will be one major return GST RET- 1 and 2 annexure GST ANX- 1 and GST ANX- 2, which will be submitted every month, excluding the small taxpayers, who have the option of filing this quarterly. Small taxpayers are the taxpayers who had a turnover of INR 5 crore in the previous fiscal year.
What are the forms for New GST Return Filing System?
The most important GST Return Filing, GST RET- 1, will have the information of all the supplies made, adjustment of taxes, input tax extension availed, along with interest. The GST RET-1 return will include two annexure forms, mainly GST ANX- 1 and GST ANX- 2. GST ANX- 1 is the annexure of outward supply is for reporting the details of all the outward supplies, inward supplies accountable to reverse charge, and import of services and goods that must be reported invoice-wise, excluding B2C supplies on a real-time basis. GST ANX- 2 is the annexure of inward supplies in which the details of all inward supplies is published. Furthermost of these characteristics will be auto-drafted from the information uploaded by the suppliers in the GST ANX- 1.
What are the significant changes in New GST Return Filing System?
In the 31st GST council meeting, the Goods and Services Tax authorities made the following significant changes:
- Harmonized System of Nomenclature code will definitely be required to submit the information during the documentation process, whereas a separate HSN abstract. Moreover, a user will be provided HSN through GST AXN- 2, wherever a supplier was supposed to assert the HSN code.
- With the Offline Demo Tool, a taxpayer will be capable of functioning across various pages. The model stated above will also permit the user to go through multiple processes such as uploading receipts, dropping down lists, uploading the acquisitions, etc.
- The supplier in the annexure 1 (GST ANX- 1) is required to show the B2B supply mechanism; nevertheless, the cumulative amount is required to display in GST RET-1.
- Inward supplies which are liable to Reverse Charge Mechanism (RCM) must be declared in GST ANX-1 at the Goods and Services Tax Identification Number (GSTIN) level, by the supplies recipient.
- The conjecture of B2C-L got liquidated. For the small taxpayers, the turnover limit will be INR 5 crore.
- Any recipient can report refraining invoices at an invoice level.
Guide for using New GST Return Filing System
Offline Tool for New GST Return Filing:
- GST ANX -1 (Annexure of Supplies)
- GST ANX- 2 (Annexure of Inward Supplies)
- The matching tool will auto draft information of GST ANX- 2 with their purchase register.
- Screens appearing from the login page to filling up the details in form GST ANX- 1 and Actions in form GST ANX- 2 provided to a variety of taxpayers who are arranging monthly returns. The quarterly new GST return filing will be similar for all taxpayers.
- Fill in asked details in the manage profile segment. Though, in this new prototype, the details cannot be updated or saved by the operator.
- The user has to select a particular Goods and Services Tax Identification Number (GSTIN) on the login page and tax period from the dropdown to proceed further on GST ANX-1 and GST ANX-2.
Form GST ANX-1 for New GST Return Filing
- Click on Prepare offline under the GST ANX-1 to provide the required details. Functions will be revealed in tabs import CSV file/EXCEL, now open the downloaded JSON file and remove data in all tables, now generate JSON file for uploading and export it to EXCEL will be not available for use in this prototype.
- VIEW SUMMARY tab presents a table-wise abstract of the sample data on ANX-1. The entries in the tables are for viewing only, and no new entry can be made. The summary and prototype will not be updated if the new data is not saved.
- After the details are filled in applicable tables, the applicant has to generate a JSON file to upload it on the available portal after the actual deployment.
Form GST ANX-2 for New GST Return Filing
- The applicant has to click on ‘Take Action’ under the GST ANX-2 for taking actions on details. The information regarding functionalities that will be available in the offline tool. The functioning of matching tools is seen in the prototype with provided prefilled data.
- Now open the downloaded JSON file from the official Goods and Services Tax portal by posting the same in the Offline tool.
- Serving of ‘Matching Tools’ can be seen in the prototype by the presented prefilled data. Now click on ‘Refine Matching Result’ to process the further criteria for matching by choosing a tolerance limit approach in the document number and in rupees. A taxpayer can take an attempt (Pending/Reject/Accepting) after the pairing is done.
- The applicant can make a decision to reject, accept, and pending button under ‘Take Action’ on the documents uploaded by the suppliers.
- Abstract of Input Tax Credit (ITC) will be prepared after the action is taken in table 4. Now click on ‘View Table 4 of ANX-2 that cannot be edited. The details will be auto-fill by the offline tool.
- Credit received from Input Service Distributor (ISD) can be viewed by choosing table 5. Table 5 is for viewing only.
As per the 31st GST council meet, Goods and Services Tax will also be introduced for the taxpayers. This new GST returns filing system will include straightforward return forms for soothing of GST return filing for taxpayers registered under GST. There will be one major return GST RET- 1 and 2 annexure GST ANX- 1 and GST ANX- 2, which will be submitted every month, excluding the small taxpayers, who have the option of filing this quarterly.