Govt notifies Relief on GST Returns [Read Notification]

The Central Board of Indirect Taxes and Customs (CBIC) waived off the late fee and interest on the filing of GSTR-3B and GSTR-1as per the recommendations of the GST Council. The Board also notified the extension of due dates for filing GSTR-3B for the period in which businesses were affected due to the COVID-19 outbreak.

The last GST Council meeting held on 12^th June decided that, for the period from July 2017 to Jan 2020, which is prior to the COVID period, a lot of Return Filing has been pending. For all those who have no tax liabilities but who have not filed their returns between July 2017-Jan 2020, there will be zero late fees.

“Provided that the rate of interest per annum shall be as specified in column (3) of the Table given below for the period mentioned therein, for the class of registered persons mentioned in the corresponding entry in column (2) of the said Table, who are required to furnish the returns in FORM GSTR-3B, but fail to furnish the said return along with payment of tax for the months mentioned in the corresponding entry in column (4) of the said Table by the due date,” a notification issued by the CBIC, the apex indirect tax body on Wednesday said.

For those people who have a tax liability, the maximum late fee for non-filing of GSTR-3B returns for the period July 2017 – January 2020 has been capped to Rs 500. This will apply to all returns submitted on July 1, 2020. Small taxpayers whose aggregate turnover is up to ₹ 5 crores will be provided a waiver of late fees and interest if they file the form GSTR-3B for the supplies affected in months of May, June, and July 2020, by September 2020, no late fee or interest.

Form GSTR-1, a separate notification by the Board said that “Provided also that the amount of late fee payable under section 47 of the said Act shall stand waived for the registered persons who fail to furnish the details of outward supplies for the months or quarter mentioned in column (2) of the Table below in FORM GSTR-1 by the due date, but furnishes the said details on or before the dates mentioned.”

Further, the due date for filing of GSTR-3B has also been extended. According to a notification, for taxpayers having an aggregate turnover of up to rupees five crore rupees in the previous financial year, whose principal place of business is in the States of Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, the Union territories of Daman and Diu and Dadra and Nagar Haveli, Puducherry, Andaman, and the Nicobar Islands or Lakshadweep, the return in FORM GSTR-3B of the said rules for the month of August 2020 shall be furnished electronically through the common portal, on or before the 1st day of October 2020.

It was provided that, for taxpayers having an aggregate turnover of up to rupees five crore rupees in the previous financial year, whose principal place of business is in the States of Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand or Odisha, the Union territories of Jammu and Kashmir, Ladakh, Chandigarh or Delhi, the return in FORM GSTR-3B of the said rules for the month of August 2020 shall be furnished electronically through the common portal, on or before the 3rd day of October 2020.

The notification also relaxed the interest payable for the class of registered persons who are required to furnish the returns in FORM GSTR-3B but fail to furnish the said return along with payment of tax for the months from February to July 2020.