Changes Under New GST Return Format
                     Changes Under New GST Return Format
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As we all know, the whole world is suffering from a 
substantial financial loss due to the COVID-19 pandemic. On 
the other hand, India, with its vast population, is trying to 
bring in the best solutions to counter the crisis. Be it 
‘Aaathma Nirbhar” or “Vocal for local,” the government has 
notified several changes under the new 
GST return format relaxations and taxation policies to 
encourage many young and innovative minds of India.
By providing GST audit extension on due dates to file the 
GSTR-4, the government has given itself and the composition 
taxpayers a time of relief and recovery till 31st August 2020. 
If not COVID-19, it would not have been possible for the 
government to overcome the confusion that previously 
existed due to multiple amendments and technical glitches 
on the GSTN portal.
In this article, you will know about the new GST return format 
declared on the 31st GST council meeting that came into 
force from April 2020 onwards. For more Invoice and GST 
related queries, reach out to us on Imprezz.in. We are an 
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Rules To Be Followed Under The New GST 
Return Format Relaxations
Generally, in the old GST return format, depending upon 
taxpayers’ category, people had to fill and file multiple 
forms of return, such as GSR-1(Goods and Service Tax Rate-
1), GSTR-2, GSTR-3, GSTR-4, etc. Thanks to the new GST 
return format, only one easy return form, “GST RET-1,” is to 
be filed by all the taxpayers. The “GST RET-1” consists of 2 
annexures, namely “GST ANX-1, GST ANX-2”.
GST ANX-1
The form mainly consists of the section that deals with inward 
and outward supplies. It typically consists of 4 sections in the 
form to be filled. The first two sections are about the taxpayer’s 
details, that is, his and his company’s registered name, date of 
filing, and ARN (Application Register Number).
The third section deals with all the exports’ details, inward and 
outward supplies carried out during a particular tax period, 
which attracts a reverse charge. The last section deals with all 
the e-com operated supplies that are accountable for collecting 
tax.
The taxpayers must be well aware that the inward supplies 
accountable to RCM (Reverse Charge Mechanism) must be 
acknowledged at the GSTIN level in the GST ANX-1.
GST ANX-2
The from mainly consists of 5 sections of inward supplies 
that are auto-drafted. The GSTIN has to be provided by the 
recipient in the first section, and the third person will 
automatically fill the second section.
In the third section, the recipient will be providing the 
details about the inward supplies received from the 
registered person, imports, and SEZ (Special Economic 
Zone) unit on BOE (Bill of Entry).
The fourth section of this form deals with Input Tax Credit: 
the rebates that the government provides in case of 
exceptional circumstances surrounding a person.
The fifth section primarily determines eligible credit 
received from ISD (Input Service Distributor). Via this, the 
recipient will also be provided with an HSN (Harmonized 
System of Nomenclature) to submit details at a document 
level.
New Return Filing System
When it comes to the changes made to bifurcate between 
small taxpayers and large taxpayers, in the old return 
format, the taxpayers whose turnover is up to 1.5 crores are 
regarded as small taxpayers and above that are considered 
to be large taxpayers. Wherein, in the new GST return 
format, the taxpayers whose turnover is up to 5 crores are 
regarded as small taxpayers and above that are considered 
to be large taxpayers.
Immediate Cancellation
The taxpayers have to file the GST returns until their 
registration has been canceled through an application for 
cancellation. Wherein as per the new GST return format, on 
the application of the form of cancellation, the GST return 
will be canceled immediately, after which you are exempted 
from filing the returns of that period.
The Remake of Amendment Returns
If in case the taxpayer loses his amendments or invoices, according to 
the new GST returns system, on filing an amendment return, it can be 
remade, instead of waiting for a specific tax period as in the old GST 
return format.
Claiming ITC
If the taxpayer provides or uploads debits or invoices within 
a certain period, he/she can claim ITC on returns except for 
the first ten months of visibility. Thereby, on the eleventh 
month, it will be posted on the ITC table. It will be published 
in the concerned department of the recipient’s return for 
the subsequent month.
Resolved GST Return Filing Complications
When the taxpayers filed invoices in GSTR-1, its month of 
the amendment could not be seen due to which many 
complications started arising. It had left many taxpayers 
worried. But, the release of the new format has successfully 
resolved the significant parts of the issue.
Visibility of Input Credits
With the introduction of GSTR-2B, the information of the input credit 
available on the imports will be shown. Unlike the old GST return format, 
the GST returns on the imports were not reflected anywhere in the 
GSTR-2A.
Easy Returns Filing
In the new GST return format, the government has made specific 
changes to make the procedure of the GST returns filing easy and 
encouraging for the business and professional communities throughout 
India.
GST E-Invoicing
Also, from 1st October 2020, under the GST arrangement and 
applicability of QR codes, the implementation of GST e-invoicing of bills 
has been made definite.
Conclusion
The changes implemented by the government of India have 
undoubtfully been for a better tomorrow and under the citizens’ favor. 
However, with the simplified format of the new GST return format, the 
procedure and the complications that had made taxpayers concerned 
have now been relieved.
The new budding businesses all over India can now aim towards the 
higher level of progress by these changes. For more exciting education 
and a helping partner in terms of GST, invoices, and quotations, 
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