The new GSTR forms are calculated to make simpler the procedure of filing GST particularly in case of smaller businesses that have an annual turnover of up to Rs. 5 crore.

GST SUGAM is a suggested simplified returns form which is would be introduced by the GST Council from October 2019 onwards. An individual with a turnover of up to Rs. 5 crores in the financial year would get an option for filing this return. This form would be made available to only those small taxpayers carrying out both B2B (Business to Business – supplies to GST registered individuals), and B2C (Business to Consumer – supplies towards consumers and unregistered individuals under GST) supplies in India. In the 28th GST council meeting, members approved quarterly GST returns (Sahaj and Sugam) filing for small taxpayers with a turnover of up to Rs.5 crores (as against the early limit of Rs.1.5 crores). Although, the tax is required to be paid monthly through a challan.

Due date for filing GST SUGAM

GSTR SUGAM can be filed quarterly, but the taxpayer is required to pay tax monthly.

Who can file GST SUGAM returns?

GST SUGAM return could be filed by an individual registered under GST having an annual turnover of below Rs.5 crores. In case of new business, they would also be allowed to file GST SUGAM return, as their turnover in the previous shall be considered as NIL.

Also, the taxpayers opting towards filing quarterly SUGAM shall be allowed to declare only supply under B2B and B2C category and inward supplies attracting reverse charge only. The taxpayer shall also not be allowed towards making supplies through e-commerce operators or take input tax credit on missing invoices.

Therefore, SUGAM form should be used only by taxpayers who supply to B2B or B2C consumers and/or have nil rated, exempted or non-GST supplies. SUGAM Return is ideal for most small businesses with a turnover of below Rs.5 crores that make B2B or B2C supplies within the country.

GST SAHAJ Return Filing

In order to file GST SUGAM return, the taxpayer should first opt for the return type. Usually, every taxpayer is being required to file monthly return, except they explicitly opt for filing quarterly GST return like SUGAM.

Also, a change in periodicity of the return filing (from quarterly to monthly and vice versa) shall be allowed only once at the time of filing the first return by an individual. When the monthly or quarterly return type is selected, the periodicity of filing return would remain unchanged over the next financial year, if changed before filing the first return of that year.

Switching from SUGAM Return

•    Any individual filing Quarterly GST Return could switch over to filing GST SAHAJ or GST SUGAM return.

•    Any individual filing GST SUGAM Return could switch over to SAHAJ Return only once in a financial year at the beginning of a quarter.

•    Any individual filing GST SUGAM Return could switch over to GST Quarterly Return at the beginning of any quarter without any restrictions (Maximum 4 Quarters in a Year).

•    Any individual filing SAHAJ return could switch to SUGAM or Quarterly GST Return at the beginning of any quarter without any restrictions (Maximum 4 Quarters in a Year).


In the SUGAM return filed by the individuals every month or quarter, most line items are auto-filled.

The auto-filled information is prepared by the GST Portal based on the GST ANX-1 information filed by the individuals from time-to-time. GST ANX-1 should be filed by the individuals at any time before the due date. It could be filed continuously as well on a daily basis of which the GST SUGAM return for the quarter would be auto-prepared.


Details of invoices uploaded by the supplier(s) regardless of the fact whether the supplier files his return on monthly or quarterly (Normal, Sahaj or Sugam) basis would be auto-populated on a real-time basis in GST ANX-2 form. The invoices so populated could be accepted or reset/unlocked by the recipient up to the 10th of the month following the month in which such documents have been uploaded.

When an invoice is auto-populated on ANX-2, the individual would have the option to reject, accept or keep pending the invoice. If accepted, the input tax credit would be availed. If rejected, the invoice shall be sent back to the supplier for correction. The supplier could make correction from ANX-1 form itself.

If an invoice is kept pending, the input tax credit regarding pending invoices would not be accounted for in table 4A of the main return (FORM GST RET-3) of the recipient and the invoices shall be rolled over to FORM GST ANX-2 of the next tax period. Furthermore, pending invoices would not be available for amendment through the supplier until rejected by the recipient.

In case an individual files the SUGAM return in a quarter or month without taking any action on the invoices uploaded by the supplier, it would be deemed that all invoices uploaded by the supplier are accepted.


1. Who is a small taxpayer in GST Regime?

The Business owners with an annual turnover up to Rs.5 crores are the Small Taxpayers

2. What are the alternatives of returns available in case of quarterly filing?

The individuals opting to file quarterly return could choose to file any of the quarterly return namely – Sahaj, Sugam or Quarterly (Normal).

3. What details shall be allowed to be filed in quarterly return “SUGAM’ ” quarterly return?

Individuals opting towards filing quarterly return as ‘SUGAM’ would be allowed to declare;

•    Outward supply under B2C and B2B category ;

•    Inward supplies attracting reverse charge only

•    Such individuals cannot make supplies through e-commerce operators on which tax is requisite to be collected under section 52.

•    Such individuals shall not take credit on missing invoices and would not be allowed to make any other type of inward or outward supplies.

•    Such individuals might make “Nil rated, exempted or Non-GST supplies” which is not required to be declared in the said return.

eStartIndia is the professional tech-based online and legal services which help the clients to simplify the procedures of all kinds of registration, implementation, tax concerns and any additional legal compliances and services related to the business in India.


eStartIndia Team

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