Guidelines for New Return Dashboard

Under Goods & Services Tax regime, Taxpayers who are filing their monthly return i.e., GSTR-3B under Central Goods and Services Tax Act, 2017 (“CGST Act”) should note that with effect from 1st April 2020 new forms will be applicable during the transition cycle and mandatory for all to understand and file accordingly.

Classification of Returns: 

The Ministry has notified the new returns for filing the details of sales on a monthly and quarterly basis under following categories which are as follows:

  1. SAHAJ:
  • The small taxpayer making only B2C supplies who has aggregate turnover during the preceding Financial Year is up to Rs. 5 crores has to pay tax on a monthly basis for first 2 months of each quarter through GST RMT-08 and in the third month of each quarter, a taxpayer can pay tax and file in GST RET-2; and
  • If a taxpayer is making outward supplies only to the customer(Business to Customer – B2C) should furnish outward suppliers detail on a continuous basis or/and
  • The taxpayer has inward supplies on which tax is payable on the Reverse Charge Mechanism basis (RCM) should file a return on a quarterly basis in Form GST RET-2.

2. SUGAM:

  • The Small taxpayer making only B2B & B2C supplies and who his aggregate turnover during the preceding Financial Year is up to Rs. 5 crores has to pay tax on monthly basis for first 2 months of each quarter through GST RMT-08 and in the third  month of each quarter, taxpayer can pay tax and file in GST RET-3 and
  • If a taxpayer is making outward supplies only to the registered person (Business to Business- B2B) and supplies to the customer (Business to Customer – B2C) should furnish outward suppliers detail on a continuous basis and
  • The taxpayer has inward supplies on which tax is payable on the Reverse Charge Mechanism basis (RCM) should file a return on a quarterly basis in Form GST RET-3.

3. Quarterly (Normal):

  • A taxpayer who has aggregate turnover during the preceding Financial Year is up to Rs. 5 crores have to pay tax on a monthly basis for first 2 months of each quarter through GST RMT-08 and in the third quarter, a taxpayer can pay tax and file in GST RET-1 and
  • If a taxpayer is making all kinds of supplies, including reverse charge supplies, should file a return on a quarterly basis in Form GST RET-1. 

4. Monthly( Normal):

  • A taxpayer who has aggregate turnover during the preceding Financial Year is more than Rs. 5 crores and if the taxpayer is making all kinds of supplies, including reverse charge supplies has to pay tax and file return on monthly basis in Form GST RET-1.

Return Frequency:

Frequency means file return either monthly or quarterly basis if the taxpayer aggregate turnover during preceding financial year is Rs. 5 crores or more have to file on monthly basis and if the taxpayer having aggregate turnover during preceding financial year is up to Rs. 5 crore having the option to file either on monthly or quarterly basis.

A taxpayer can change the frequency of filing return from monthly to quarterly or vice versa by exercising this option.

Why this step:

The government has implemented this step taking into consideration the different return prevent late fee and support the ease of compliance by bifurcating the different returns according to the filing issues on portal faced by the taxpayers, this is the immediate solution as needed to turnover and supplies made by the taxpayer in the financial year. Even the taxpayer can change the return frequency easily by login to the GST Portal, navigate to Services > Returns > Manage Return Profile (Trial) on the dashboard and to change the return type from Sahaj to Quarterly (Normal), select the Financial Year and click the Change Return Type button.

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