The GST Council has approved the new and simplified returns filing format. In the 28th meeting on July 21, the council approved the basic principles of the new GST return design. The simplification of the returns filing has been on agenda for months. Finance Secretary Hasmukh Adhia in May had said that the new returns filing process will be fully implemented in a six-twelve months time.
The council, in its previous meeting held on May 4, 2018, had given in-principle approval to introduce a simplified return filing procedure. Now, the council has approved the format and the business process of the simplified return filing procedure.
The format of the returns has not been released in the public domain and the GST Council is yet to notify a date for implementation of this simplified return filing procedure. However, the council has revealed the salient features of the same. The new GST return system will be based on ‘Upload – Lock – Pay’. The return system would be as follows:
New return to contain two main tables – One for reporting outward supplies and one for availing Input Tax Credit (ITC)
ITC would be based on invoice uploaded by the supplier
Invoices can be uploaded continuously by the seller and can be continuously viewed and locked by the buyer
Optional facility of filing quarterly returns in forms ‘Sahaj’ (only B2C supply) and ‘Sugam’ (B2C + B2B supply) for small taxpayers having turnover below Rs 50 million
Source : Financial Express