The New Simplified GST Regime in India

Posted by admin 07/08/2019 0 Comment(s)

India is one of the largest economies in the world and is soon to become the largest in the not too distant future.

This is a unique success story that can be attributed to the economic liberalization of 1991.


The thing that happened in 1991 was that the economy of India was opened up to foreign investment, as well as the elimination of a great deal of bureaucracy and red tape.

It was this step that led to businesses thriving in the country and enabling the economic success story we see today. 

It should be noted that these changes were but the start of a long process, which is continuing even today. There are a great many challenges to be dealt with when it comes to the process of economic growth and developing the country.


Of the many challenges that exist, one of the most important is that of the taxation system.

This is an issue that has been bothering the tax authorities as well as business owners for a very long time. One thing that had been acting as a major hindrance towards development, was that of the compliance and the overall management.

 It was because there were several different taxes that had to be enforced, each of which was rather complex in structure and wording.

It was in light of this issue that there was a major overhaul of several different taxes in the country, where they were all brought under a single taxation system called GST or Goods and Services Tax. It helped to do away with the complex network of taxes that businesses had to comply with, to remain active and run their operations.

In other words, all one had to do was register for GST, in Delhi or any other state, and only take care of this single tax instead of dozens of separate taxes. This made the entire process fairly simple compared to before.


Although the GST system, be it a GST registration in Delhi or some other state, is very much in force today, and has replaced many other taxes, there is still a matter of complexity.

It was found out after implementation that the GST system was rather complex. This led to the system being rather cumbersome and a hassle to holders of any given GST no, in Delhi as well as other places. The same views have also been expressed by many tax authorities as well.

In light of this, the government declared that a simplified version of the GST filing system would be enforced, although it hasn’t materialized to a large extent. Some of the major changes that are to be expected, are given below and are accurate as per the 31st GST meeting.


  • A new return filing system is to be created, which will ease the process of filing GST returns. The system is to be created and integrated into the old one, in a way that is seamless and causes no problem to those filing the returns. This will be managed through the help of a suitable transition plan, where existing users will be smoothly migrated to the new system. This is something that would apply for a GST in Delhi and other states, without exception. You can check up with a GST consultant, in Delhi or whichever state you are living in.
  • This new system will have five main components, namely one main return and four annexure, i.e. FORM GST ANX-1, FORM GST ANX-2, FORM GST ANX-1A and PMT-08.
  • The two annexures, ANX-1, and ANX-2 will be available for trial between the months of July and September 2019. Although these changes will be rolled out, taxpayers are required to file outward supply details in FORM GSTR-1 and return using FORM GSTR-3B.
  • FORM GSTR-1 will be replaced with GST ANX-1, from October 2019. It will be made compulsory for large taxpayers with a GST number, in Delhi or otherwise, whose annual turnover in the previous financial year is 5 crore and above. Furthermore, small taxpayers can upload their invoices and other documents using FORM GST ANX-1 on an ongoing and continuous basis, from the same month, i.e. October 2019. As for FORM GST ANX-2, it shall only be viewable during this period.
  • Invoices are to be allowed to be uploaded via. The offline tool, using FORM GST ANX-1 on a trial basis. Also, the offline tool is to be given the option to access and import one's purchase register, match the same with the downloaded inward supply invoices to find any errors or mismatches.
  • Large taxpayers with a GST number, in Delhi or otherwise, are to continue filing FORM GSTR-3B on a monthly basis. This is expected to be from the months of October and November 2019. This filing shall start from the month of December 2019, whose return is to be filed by the 20th of January.
  • Small taxpayers are required to stop filing FORM GSTR-3B and instead start using FORM GST PMT-08 from October 2019, which shall begin with FORM GSTR-1 for the October to December quarter. This shall begin from the 20th of January 2020. This is something to remember for anyone planning to apply for a GST, in Delhi or otherwise.


Also to be added here is that many of these changes may never be brought forth. On the contrary, they may just be left as a worthwhile consideration, in favor of other changes. This is something to be remembered if one were to register for GST, in Delhi or any other Indian state.

In addition to this, other changes not mentioned here may also be brought fourth when the final step is taken to simplify the GST filing process for a given GST no, whether in Delhi and any other Indian state. A suitable GST consultant in Delhi, or whichever state you are in, can help you out in this regard.


In all, it can be said without a doubt that the new GST system, whether for a GST registration in Delhi or any other state, in India is one of the most beneficial things to have happened to the economy.

Thanks to its simplicity and the ease that it brings about, it has helped tremendously with promoting business activities in the government, as well as the larger economic growth process.

There are indeed many flaws and imperfections in the system, many of which are currently being fixed at the highest levels. This can be considered as an ongoing process but is one that will go a long way in helping India to realize the dream of becoming a developed country.


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