GST Returns Sahaj and Sugam

In recent GST council meeting, it was proposed to launch 2 new GST returns for small tax payers which will be replacing existing GST returns.

As of now there is no format or planning is made public, so it is difficult to vouch about the usability.

New introduced forms are supposed to be easy and simple.

2 new forms for small tax payers

GST council has given a hint on simple forms which will be called as:

• GST SAHAJ Return
• GST SUGAM Return

These 2 forms will be replacing existing returns for small tax payers. Small tax payers will be one with turnover less than Rs. 5 crore in a financial year.

These are optional returns, tax payers will be able to file monthly returns too.

However there will be an option to file returns quarterly.

Who can file GST Sahaj?

GST SAHAJ is to be filed by tax payers supplying to only consumers. GST SAHAJ return will be applicable to tax payers involved in B2C supplies only. Tax payers with turnover less than Rs. 5 crore will be able to file this return.

Who can file GST SUGAM return?

GST Sugam return will be filed by tax payers supplying to consumers and business. GST SUGAM return will be applicable to tax payers involved in both B2C and B2B supplies.

Again this return will be applicable only to tax payers with turnover less than Rs. 5 crore.

Payments will be on monthly basis or quarterly?

GST has to be paid on monthly basis. Only returns can be filed on quarterly basis, however payment dues will continue to be on monthly basis.

In my opinion this is a wrong decision and even payment option should be made quarterly.

Tax payers will be calculate actual tax liability only at the time of filing returns.

If payment and return due dates are made different, tax payers will have to sit twice once for calculation of tax liability and again for filing return.