Article deals with Late fees payable for delayed Filing of Form GSTR-3B and Form GSTR-1 by Taxpayer having no outward supply or those who are required to file Nil Return and For Taxpayer who have liability of GST Payment. Article also explains Rate of Interest payable for delayed Payment of GST.
Government has observed that a number of Taxpayers are still not filling their Monthly returns. As per latest Press Release the summary of returns filed for the month of January, 2018 is depicted below:
Taxpayers who are not filling GST monthly returns will have to pay hefty late fees and Interest liabilities.
LEVY OF LATE FEES
(Section 47 of CGST Act after considering the Waiver of Late Fees via Notification No.- 64/2017 Central Tax; Dated: 15 Nov 2017 for GSTR3B and Notification No.- 4/2018 Central Tax Dated: 23 Jan 2018 For GSTR1. )
INTEREST ON DELAYED PAYMENT OF TAX (Section 50)
Interest at the rate 18% p.a. is payable on tax due from the date succeeding the due date of return till the date of payment. Late Fees is to be self declared by the taxpayer in GSTR3B.
A taxpayer who has not filled any return till date will have to pay total late fees upto Rs 29,000/- to file the returns now (on 31st March 2018). Following are further details of calculation of late fees payable by such taxpayer:
Late Fees for Non- Filling of GSTR3B (July 17 to Feb 18)
Where tax payable is NIL- Total Late Fees of Rs 7,000/- .
Where Tax is Payable- Total Late Fees of Rs 17,500/-.
Late Fees for Non Filling of GSTR1 (July 17 to Dec 18)- Quarterly Return
Where there are no outward supplies Total Late Fees of Rs 880/-.
In Other cases- Total Late Fees of Rs 2,200/-.
Late Fees for Non Filling of GSTR1 (July 17 to Jan 18)- Monthly Return
Where there are no outward supplies, total Late Fees of Rs 4,600/-.
In other cases, total Late Fees of Rs 11,500/-.
NOTE: Late Fees for the month of July to September for both GSTR3B and GSTR1 are waived by government and thus are not included in above calculations.
As calculated in above mentioned tables, even a small taxpayer opting for quarterly returns and having NIL Tax Liability will have to pay Rs 7,880 to file the returns (assuming 31 March 2018 as date of filling).
Apart from above late fees and Interest Department can also initiate Penalty and Prosecution proceeding in case of non filling of returns. Kindly file your returns and discharge the tax liabilities at the earliest if not yet done. It is also advised to recheck the status of your returns on common portal and save ARN of all the returns filled.
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