In our earlier article on “Understanding Key Features of Simplified Monthly GST returns”, we had discussed in detail the features of the new return forms proposed to be released by the GST Council. Further, it was stated that the new return forms will be released on trial basis on 01st of April, 2019 and on mandatory basis from 01st of July, 2019. You can refer to the article here
However, the release of the new simplified returns has been deferred by the GST Council without providing any further date for release of the forms. The forms will be made available once they are notified and the software and related infrastructure is ready.
The GST Council had in July last year decided that the new and simplified GST return forms viz., Sahaj and Sugam, would be rolled out on a pilot basis from April 1, 2019, while mandatory filing across the country would kick in from July.
Under the new system of return filing, the taxpayers who have no purchases or sales, i.e. no tax liability, in any quarter of the year, would be able to file Nil return for the entire quarter. The facility to file Nil return shall also be available by sending an SMS.
The GST Council said that the form “Sahaj” will be applicable to the businesses who make supplies only to B2C customers. This form will contain only the details of supplies to B2C and the summary of inward supplies for claiming the Input Tax Credit (ITC). Whereas, the form “Sugam” will be applicable to the businesses making supplies to both B2B as well as B2C customers.
The new return filing system would replace the current system of filing GSTR-1, which is applicable across all types of businesses. However, the system of filing the monthly GSTR-3B, which is the summary return, would continue in the short term.