As we know, the councile has approved the new GST returns on 21st July'18 in the GST council meeting. Different new GST return forms have been approved considering the complexity of businesses operating in the India. The respective new Returns forms fit for small, medium and large businesses.
Based on the size the businesses, type of supplies, the customers you have and the GST council has designed different type of new GST returns which will simplify the GST return filing process each of type of business instead of having a common GST return format for all.
In this article, we will see the different types of new GST return forms which are approved by the GST Council.
Broadly the new GST Returns are classified into quarterly returns and Monthly returns. The quarterly returns are further divided into Form GSTR Sahaj, Form GSTR Sugam and GSTR quarterly.
Just like selecting the right one which suits you, you need to select one of the new GST return forms which suits your business profile.
Let us understand each of the new GST return forms in detailed.
Monthly Return & Forms
The Registered businesses with the turnover exceeding 5 Crores in the previous financial year should file the monthly return along with payment of tax. The businesses are required to upload all the B2B invoices and it will get auto-populated in outward supplies annexure and then in your monthly return.
Input Tax Credit: ITC will be available on the invoices uploaded by your supplier and can be claimed as credit with an option to claim and report the missing invoices which are not uploaded by the supplier.
Due date for filing returns: The monthly return along with the payment need to be filed by 20th of the subsequent month.
There are no different forms for filing monthly returns as available for filing quarterly returns.
Quarterly Returns & Forms
The Registered businesses with the turnover up to 5 Cr in the previous financial year are allowed to for filing quarterly returns. However, the payment needs to be made on monthly basis. The input tax credit will be available only to the extent of invoices uploaded by the supplier.
Note: The quarterly returns will not have a concept of claiming ITC on missing invoices which are not uploaded by the supplier.
Forms: Quarterly returns consist of three different GST return forms which business can choose based on their profile.
1. GSTR Sahaj Form:
The businesses who often purchase only from the domestic market (within India) and their 100 % outward supplies are made to end consumers and unregistered business, known as B2C supplies can opt for GST return Form Sahaj.
The details of outward supplies are required to be captured at summary level with a break-up of tax rate and place of supply. The details of ITC from inward supplies annexure which gets auto-populated based on the invoices uploaded by the supplier.
2. GSTR Sugam Form:
The Form GSTR Sugam can be opted by the businesses who supply to both B2B as well as B2C. This implies that businesses who make outward supplies to registered businesses (B2B), as well as end consumers or unregistered business (B2B), can opt for Sugam
The details of B2B supplies need to be captured at invoice level in outward supplies annexure from where the details will be auto-populated to Form GSTR Sugam. The details B2C supplies should be reported at a summary level in Sugam returns. Similar to Sahaj, the details of ITC will be auto-populated from inward supplies annexure based on the invoices uploaded by the supplier.
3. Form GSTR Quarterly Return
This is similar to Sugam and the only difference is that if you are engaged in making exports including SEZ, you need to choose GST quarterly return form. The format of the quarterly form will be similar to monthly return form applicable to large taxpayers.
The details of B2B supplies along with exports need to be captured at invoice level in outward supplies annexure from which the details will be auto-populated to Form GSTR Quarterly return. The details B2C supplies should be reported at a summary level. Similar to Sugam, the details of ITC will be auto-populated from inward supplies annexure based on the invoices uploaded by the supplier.