Under the new GST compliance requirements traders get more time to file the tax return form to claim transitional credit

The government on Wednesday notified a series of changes in the timelines of the compliance requirements under the goods and services tax (GST).

It gave traders more time to file the tax return form to claim transitional credit known as Tran-2. The new deadline for filing the return disclosing the transitional credits claimed by traders to 30 June from 31 March.

Abhishek Jain, partner, EY said that this extension is expected to bring substantial relief to traders who were struggling with system issues for filing the form

The deadline for filing the input service distributor has also been extended to 31 May from 31 March.

However, the government has reduced the time for filing of GSTR-1 forms that provides details of outward supplies.

The due dates for filing of GSTR-1 for the months of April, May and June have been significantly curtailed from the previous 40 days.

Taxpayers will get 31 days to file tax returns for April and 10 days for May and June.

“The businesses now would need to be quite proactive in collation of data and filing of returns within the curtailed timelines,” Jain said.