{"id":7126,"date":"2018-05-02T09:20:04","date_gmt":"2018-05-02T09:20:04","guid":{"rendered":"https:\/\/www.instamojo.com\/blog\/?p=7126"},"modified":"2020-10-12T21:07:29","modified_gmt":"2020-10-12T15:37:29","slug":"no-need-to-file-returns-under-gst","status":"publish","type":"post","link":"https:\/\/www.instamojo.com\/blog\/no-need-to-file-returns-under-gst\/","title":{"rendered":"GST News: Soon You May Not Need to File 3 Returns"},"content":{"rendered":"

Still wrapping your head around GST return filing? Don’t worry, you aren’t alone. In recent GST news, word is that businesses\u00a0won’t have to file multiple returns anymore. Approved by the Group of Ministers that handle GST, this proposed model will make compliance easier for your business.\u00a0<\/span><\/p>\n

A recent report by Money Control<\/span><\/a> states you may not have to file multiple returns when filing your GST. You may only have to file one form every month. Also, the earlier automatic system-based matching would be replaced with a semi-automatic matching where the seller would upload invoices and the buyer has to verify the invoice.<\/p>\n

Filing Returns Under GST<\/h2>\n

Currently, the GST filing system requires a business to fill at least three forms<\/span><\/a> on a monthly basis. The Input Tax Credits are granted as soon as one file the returns. With the new proposal in place, you may have to just fill a one-page return.<\/p>\n

The proposal is a part of the government’s attempts to simplify the GST return-filing process since it’s implementation. Several models have been proposed to make it easier and more accessible to businesses in the country.<\/p>\n

Understanding GST<\/h2>\n

The introduction of the GST bill<\/a><\/span> changed the tax structure.\u00a0GST is levied on every stage of manufacturing and it depends on an interlinked network of buyers and sellers or GST Network (GSTN)<\/p>\n

GST has reduced the burden of multiple aggregated taxes on the consumer. It has done away with the Value Added Tax(VAT),<\/a> service tax<\/a><\/span>, entertainment tax,<\/a> excise duty\u00a0<\/a><\/span> and luxury tax.<\/a><\/span> These indirect taxes are replaced by Central GST (CGST), State GST (SGST) and Integrated GST (IGST).\u00a0<\/a><\/span><\/p>\n

How the GSTN works\u00a0<\/strong><\/h2>\n

The IT\u00a0 system of GST Network (GSTN) accepts purchase and sales invoices uploaded by a seller. The buyer also uploads their invoice. The system then, automatically, calculates the Input Tax Credit applicable for the seller and the buyer.<\/span><\/p>\n

In the new model, the automatic nature of the system will be replaced by a semi-automated process of entering the purchase and sales information.<\/p>\n

The semi-automated structure of the new model will enable the seller to continuously add invoices and the buyers can have a look at them. The seller can lock the invoice, thereby making it impossible for the seller to edit or delete it. This makes the invoice final and the seller no longer has to update his part of purchases.<\/p>\n

Pro and Cons<\/strong><\/h2>\n

Advantages<\/strong>:<\/p>\n