In its 31st Meeting, the GST Council decided to roll out a New Return System in order to support the taxpayers. Thus, to make the transition to the New GST Return system easy, the Council came out with a transition plan. This plan involved implementing the new Return System in a Phased manner.
Thus, the first few phases of the plan were marked by providing offline tools to taxpayers in order to make them familiar with the New GST Return System. The compulsory filing as per the new system was earlier scheduled for January 2020.
However, the GST Council in its 37th Meeting further deferred the implementation of New GST Return System.
This was done to give sufficient opportunity to the taxpayers for getting used to the new GST Return System. As per the New GST Return System, the taxpayers would be required to file one main return in Form GST RET-1 and two annexures in Form GST ANX-1 and GST ANX-2 respectively.
This article talks about Form GST ANX-1. Let’s understand what is Form GST ANX-1, its components and the key points to keep in mind while filing Form GST ANX-1.[/vc_column_text]
What is Form GST ANX-1?
Form GST ANX-1 is one of the annexures that you need to file along with the main return GST RET-1 as a taxpayer under the New GST Return System. This Annexure contains the details pertaining to three important particulars including:
- Outward supplies (including exports, SEZ supplies, deemed exports etc.)
- Inward supplies attracting Reverse Charge
- Import of goods or services
Thus, GST ANX-1 is a Return Form that includes all the cases where you as a taxpayer are liable to deposit GST whether on imports, forward charge or reverse charge basis.
Further, the GST taxpayers can upload the invoice details in GST ANX-1 given the continuous invoice uploading facility made available on the GST portal.
In addition to this, the invoices uploaded by the supplier in GST ANX-1 can be viewed simultaneously by the recipient on real-time basis for him to take desired action.
Components of GST ANX-1
Under this, you need to mention your Goods and Services Tax Identification Number (GSTIN).
2. Basic Details
This section covers your basic details including the following:
- Legal Name of the Registered Person
- Trade Name (if any)
- Acknowledgement Reference Number (ARN)
- Date of Filing
Now, the basic details covered in points 1, 2 and 3 will be auto-populated based on the GSTIN. Whereas, the ARN and the Date of Filing will be auto-populated after the return is filed.
3. Details of Outward Supplies, Inward Supplies Attracting Reverse Charge and Import of Goods and Services
|Table Number||Table Name||Instructions|
|3A.||Supplies made to consumers and unregistered persons (Net of debit / credit notes)||All supplies made to consumers and unregistered persons (i.e. B2C) are reported in this table. Supplies shall be reported tax rate wise and net of debit / credit notes. HSN Code is not required to be reported in this table.|
|3B.||Supplies made to registered persons (other than those attracting reverse charge)(including edit/amendment)|
|3C & 3D||Exports with payment of tax & Exports without payment of tax|
|3E & 3F||Supplies to SEZ units/developers with payment of tax (including edit/amendment) And Supplies to SEZ units/developers without payment of tax (including edit/amendment)|
|3G.||Deemed exports (including edit/amendment)|
|3H.||Inward supplies attracting reverse charge (to be reported by the recipient, GSTIN wise for every supplier, net of debit/credit notes and advances paid, if any)|
|3I.||Import of services (net of debit/ credit notes and advances paid, if any)|
|3J.||Import of goods|
|3K.||Import of goods from SEZ units/developers on a Bill of Entry|
|3L.||Missing documents on which credit has been claimed in T-2 /T-1 (for quarter) tax period and supplier has not reported the same till the filing of return for the current tax period|
Important Points To Remember
1. Real Time Uploading of Invoices
A taxpayer can upload invoices on a real time basis in GST ANX-1 upto 10th of the subsequent month except for certain time periods. These include 18th to 20th of the succeeding month in case of taxpayers filing monthly returns. And 23rd to 25th of the month succeeding the quarter in case of taxpayers filing quarterly returns.
In addition to this, the supplier cannot upload the invoices after the due date of filing return for the month of September or actual date of filing annual return (whichever is earlier).
Furthermore, the invoices uploaded by suppliers can be viewed by the recipient at the same time in Form GST ANX-2.
In addition to the viewing facility, the recipient can also take necessary action on the invoices, that is, accept, reject or keep pending any of the invoices on a real-time basis. But, the recipient cannot make any amendments to the invoices uploaded by the supplier.
Since the GST portal offers a continuous uploading facility, taxpayers will have to be careful in uploading invoices. This is because there are increased chances of committing errors.
2. Uploading of Prior Period Invoices
There can be situations where both invoices issued during the tax period or any prior period by the supplier are uploaded after he or she has filed the return for such a period.
In this case, the prior period invoices would be counted in the tax liability of the supplier in the return in which such invoices has been uploaded.
3. Advances Received For Services Supplied
Advance amount received due to services supplied would not be reported in GST ANX-1. Details with regards to the same shall be reported in Table 3C(3) GST RET-1. Whereas, the adjustments pertaining to it would be reported in Table 3C(4) of Form GST RET-1.
4. ITC Availed By The Recipient
Recipient can avail ITC for the tax period based on the invoices uploaded by the supplier upto the 10th of the month subsequent to the tax period (i.e. 10th of the succeeding month in case of monthly return and 10th of the month following the tax quarter in case of quarterly return ) for which the return is to be filed.
However, such a credit can be claimed only if the recipient files his return. This is regardless of whether supplier files his or her return on a monthly or quarterly basis.
5. Supplies Attracting Reverse Charge
Supplies that attract reverse charge shall be reported by the recipient and not by the supplier in this annexure. Further, such supplies shall be reported GSTIN wise. Additionally, the amount of tax payable as well as the taxable value would be net of debit/credit notes and advance amount paid, if any.
6. Reporting of the HSN Code
Suppliers with the annual total turnover of more than Rs 5 Crores as well as the ones undertaking exports, imports or SEZ supplies are required to upload HSN details.
Further, the HSN Code with at least 6 digits for goods as well as services shall be provided. On the other hand, taxpayers whose aggregate annual turnover is upto Rs 5 Crores may or may not provide HSN details.
7. Taxable Value and Tax Rate
The amount of tax payable shall be calculated by the system on the basis of the taxable value as well as the tax rates so provided by the taxpayer. The amount of tax thus calculated cannot be edited otherwise but only via issuing debit notes/credit notes.
Further, the tax amount under CESS would be reported by the taxpayer himself.
8. Place of Supply
It is necessary to provide Place of Supply for all the supplies undertaken by the taxpayer. In case of intra-state supplies, the Place of Supply would be the same as the one in which the supplier is registered.
9. Selecting the GST Tax Rates
Taxpayer can select the IGST tax rates from the drop down menu. However, in case of intra-state supplies, the taxpayer would apply GST rate as half of Integrated Tax that is equally divided between Central Tax and State Tax/UT Tax.
Further, the taxpayers shall also report CESS wherever applicable.
10. Supplies and Tax Amount To Be Recorded Upto Two Decimal Points
The taxpayer can report the value of supplies and the tax amount in the form of a whole number or upto a maximum of two decimal points.
11. GSTIN/UIN of the Recipient
The taxpayer needs to provide GSTIN/UIN details of the recipient in the following cases:
- Supplies made to registered persons (other than those attracting reverse charge)
- Deemed Exports
- Supplies to SEZ Units/Developers with or without payment of tax
12. GSTIN of the Supplier
The taxpayer needs to provide the GSTIN details of the supplier if available in the following cases:
- Inward supplies attracting reverse charge
- Import of goods from SEZ Units/Developers on a Bill of Entry
- Missing documents on which credit has been claimed in T-2/T-1 (for quarter) tax period. And supplier has not reported the same till the filing of returns for the current tax period.
Further, PAN shall be provided in cases where supplies attracting reverse charge are received from an unregistered person.
13. Negative Values in Case of Net of Debit/Credit Notes
There can be instances where supplies that are recorded as net of debit or credit notes may have a negative value. In such situations, these negative values are required to be reported as such. Say for example (-200).
14. Uploading Documents of the Period Before the Introduction of New GST Return System
The taxpayer also has the facility of uploading the details of the documents pertaining to the period before the introduction of the New GST Return Filing system. This can be done in the relevant tables included in GST ANX-1.
Thus, taxpayer needs to upload only those details which were not previously included in Form GSTR-1. Further, all the supplies that form part of this Annexure shall be liable for GST tax payment.
15. Amendments in Return To Be Only Supplier Side
The New GST Return System facilitates only the supplier to edit or make changes in the document details so uploaded. The recipient side only has the option of resetting, unlocking or rejecting the documents.
Thus, any changes to the documents can be made by the supplier only.
16. Rejected Documents To Be Intimated To Supplier After Return Filing By The Recipien
Supplier shall be intimated about the documents rejected by the recipient only once the recipient has filed his or her return.
17. Editing of Rejected Documents
The documents rejected by the recipient can be edited before filing of a subsequent return for any month or quarter by the supplier. But, the input tax credit with regards to the documents edited can be availed by the recipient only through next open Form GST ANX-2.
Whereas, the liability for the document so edited would be considered in the tax period in which the documents have been uploaded by the supplier.
19. Changes in Documents For Supplies Made To Composition Tax Payers, ISD, UIN Holders Etc
There can be cases where the details of the document may be correct but the document itself is reported in the wrong table by the taxpayer.
In such situations, the recipient can reject the document. However, instead of making changes in the document, a facility to shift the documents to the correct table has been provided under the new return system.
18. Shifting of Documents
Where the changes are to be made in the documents which relate to the supplies made to composition tax payers, ISD, UIN holders etc. the same shall be amended by the supplier anytime.
In other words, making changes to such documents would not be subject to the action taken by the recipient. That is, accept, reject or keep documents pending.