2020-02-03 13:58:10GST CenterEnglishThis article talks about the various GST New Returns that need to be filed by a taxpayer including RET-1, RET-2, RET-3, ANX-1, ANX-2 and...https://quickbooks.intuit.com/in/resources/in_qrc/uploads/2020/02/GST-New-Returns-Forms-Under-New-GST-Return-System.jpghttps://quickbooks.intuit.com/in/resources/gst-center/gst-new-returns/GST New Returns: Forms Under New GST Return System

GST New Returns: Forms Under New GST Return System

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The GST Council in its 31st meeting recommended that a new and improved version of the GST return system must be introduced. This was undertaken in order to ease the tax return filing for the taxpayers.

Furthermore, the Council also advocated that the implementation of the new GST Return System would take place in a phased manner from October 2019.

However, a prototype of the online tool was made live on the GST portal in May 2019 in order to provide taxpayers a mock-up of the new GST Return System.

Accordingly, a taxpayer would be required to file three Forms under the new return system: the main return (GST RET-1) and two annexures (GST ANX-1 and GST ANX-2).

Besides these forms, there are other forms like GST RET-2 (Sahaj), GST RET-3 (Sugam) and PMT-08 that taxpayers need to file on a case to case basis.

Let’s understand each of the GST New Return Forms in detail.[/vc_column_text]

New GST Return Forms

1. RET-1

GST RET-1 is the main return in new GST Return System that needs to be filed along with GST Annexure 1 and GST Annexure 2.

Such a return needs to be filed by a normal taxpayer making B2B supplies, B2C Supplies, Zero rated supplies, inward supplies attracting reverse charge and supplies through e-commerce operators.

Further, the large taxpayers having an aggregate annual turnover of more than Rs 5 Crores are required to file this return every month. However, the small taxpayers having an aggregate annual turnover of upto Rs 5 Crores have the option to file this return either on a monthly or quarterly basis.

Furthermore, the following persons are not required to file this return on a monthly basis:

So, GST RET-1 mainly gives details of outward supplies and ITC to be availed based on the invoices uploaded by the supplier. Further, the taxpayers need to file this return by the 20th of the month following the month for which the tax needs to be paid.

Components of GST RET-1

Following are the components of GST ANX-1:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Summary of Outward Supplies, Inward Supplies Attracting Reverse Charge, Debit/Credit Notes and Tax Liability
    • Details of Outward Supplies
    • The Details of inward supplies attracting reverse charge
    • Details of debit / credit notes issued, advances received / adjusted and other reduction in liabilities
    • The Details of supplies having no liability
    • Total value and tax liability
  • Summary of inward supplies for claiming input tax credit (ITC)
    • Details of ITC based on auto-population from FORM GST ANX-1, action taken in FORM GST ANX-2 and other claims
    • The Details of reversals of credit
    • ITC available (net of reversals)
    • The ITC declared during first two months of the quarter (Only for quarterly return filers)
    • Net ITC available (C-D)
  • Amount of TDS and TCS credit received in electronic cash ledger
  • Interest and late fee liability details
  • Payment of tax
  • Refund claimed from electronic cash ledger

2. 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

Following are the components of GST ANX-1:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Details of Outward Supplies, Inward Supplies attracting reverse charge and import of goods and services
  • The details of the supplies made through e-commerce operators liable to collect tax under section 52

3. ANX-2

GST ANX – 2 is an annexure to the main return GST RET – 1. This form is an auto – drafted return that shows the details of inward supplies reported as outward supplies in form GST ANX – 1, form GSTR 5 and form GSTR 6.

This means that the details of documents uploaded by corresponding suppliers in GST ANX – 1, GSTR 5 and GSTR 6 will get auto – populated on near real time basis in this annexure.

Further, such a form is available for the recipient to take necessary action. That is, to accept, reject or keep the documents pending. If the recipient accepts the documents, this would mean that the supplies reported in ANX – 1 are correct.

Components of GST ANX-2

Following are the components of GST ANX-2:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Inward supplies received from a registered person (other than the supplies attracting reverse charge), imports and supplies received from SEZ units/Developers on Bill of Entry
  • Summary of the input tax credit
  • ISD credits received (eligible credit only)

4. RET-2

Small taxpayers with an annual turnover of upto Rs 5 Crores can only choose to file quarterly returns in Form GST RET-2, that is, GST Sahaj Return. GST RET-2 – Sahaj allows the small taxpayer to declare details of outward supplies to consumers and unregistered persons (B2C) and inward supplies attracting reverse charge only.

It is a simplified quarterly return which the small taxpayers could file from April 2020 as discussed in the 37th GST Council Meeting.

While small taxpayers making B2C supplies and having a turnover of upto Rs 5 Crore in the previous financial year could choose to file quarterly return in GST Sahaj, they are required to make monthly tax payment via GST PMT-08.

Further, there are certain things that the taxpayer needs to know about the quarterly return filing under the new GST Return System.

Components of GST RET-2

Following are the components of GST RET-2:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Summary of outward supplies, inward supplies attracting reverse charge and tax liability
    • Details of outward supplies
    • The details of inward supplies attracting reverse charge
    • Details of advances received / adjusted and other reduction in liabilities
    • Total value and tax liability
  • Summary of inward supplies for claiming input tax credit (ITC)
    • Details of ITC based on auto-population from FORM ANX-1 and action taken in FORM GST ANX-2 and other claims
    • Details of reversals of credit
    • Input tax credit available after reversal
    • ITC declared during first two months of the quarter
    • Net ITC available

5. RET-3

Small taxpayers with an annual turnover of upto Rs 5 Crores can only choose to file quarterly returns in Form GST RET-3, that is, GST Sugam Return. GST RET-3 – Sugam allows the small taxpayer to declare details of:

  • Outward supplies to consumers and unregistered persons (B2C),
  • The outward supplies to registered persons (other than those attracting reverse charge) and
  • inward supplies attracting reverse charge only.

It is a simplified quarterly return which the small taxpayers could file from April 2020 as discussed in the 37th GST Council Meeting.

While small taxpayers making B2C and B2B supplies and having a turnover of upto Rs 5 Crore in the previous financial year could choose to file quarterly return in GST Sahaj, they are required to make monthly tax payment via GST PMT-08.

Components of GST RET-3

Following are the components of GST RET-3:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Summary of outward supplies, inward supplies attracting reverse charge, debit / credit notes etc. and tax liability
    • Details of outward supplies
    • The details of inward supplies attracting reverse charge
    • Details of debit / credit notes issued, advances received / adjusted and other reduction in liabilities
    • Total value and tax liability
  • Summary of inward supplies for claiming input tax credit (ITC)
    • Details of ITC based on auto-population from FORM GST ANX-1, action taken in FORM GST ANX-2 and other claims
    • Details of reversals of credit
    • ITC available (net of reversals)
    • The ITC declared during first two months of the quarter
    • Net ITC available (C-D)
  • Amount of TDS and TCS credit received in electronic cash ledger
  • Interest and late fee liability details
  • Payment of tax
  • Refund claimed from electronic cash ledger

6. PMT-08

GST PMT – 08 is a form that needs to be filed by a small taxpayer in order to make payment of tax on a monthly basis. In other words, this form is used to make payment of self assessed tax by the small taxpayers filing returns on a quarterly basis under the new GST return system.

The self assessed liabilities are required to be paid for the initial two months of the quarter for quarterly tax filers. Such a form needs to be filed even if no supplies are made in the month for which such a form needs to be filed.

Since the taxpayer pays the monthly tax liability through this form, such a form is a replacement for the current form GSTR – 3B. Thus, GST PMT – 08 is used to declare and pay the tax liability and claim eligible input tax credit.

Furthermore, the taxpayer must make the payment of self assessed liabilities through GST PMT – 08 by the 20th of the month succeeding the month for which tax is to be paid.

Once the payment is made, the taxpayer needs to file GST RET – 1, GST – RET 2 or GST RET – 3 by the 25th of the month following the quarter to which such a return pertains.

Components of GST PMT-08

Following are the components of GST PMT-08:

  • GSTIN of the supplier
  • Other basic details like:
    • Legal name of the registered person
    • Trade name
    • Acknowledgement Reference Number (ARN)
    • Date of Filing
  • Summary of Self Assessed Liability and Input Tax Credit Availed
  • Payment of Tax
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Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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