There is a penalty for breaching the regulations of GST and late fees can be also applicable for late filing. This can be best understood by knowing the offences and penalties under GST . Let us get into this article to know about the late fees, interests, and penalties. For delayed gross payments an interest of 18% can be charged. The CBIC- Central Board of Indirect tax and Customs clearly stated that charging interest on delayed payment. In the 39th GST council meeting, the interest on GST delayed payment should be levied and the payment should be in the form of cash.To avoid these mistakes, trials, and penalties under GST reach the best GST consultants in Chennai,Tambaram
While coming to the GSTR-3B an annual interest of 18% should be paid for any delay in the gross amount. To get GST’s net liability, deduct input credit from GST gross liability.
GST’s Penal Provision:
Every taxpayer is the same under GST regulations, can be liable to offences when failed to satisfy the regulations. Late fee, interest payment is applicable to everyone if anyone has overdue payment or late payment.
Except GSTR-9 following rate are applicable:
1. This is for the interstate supply:
Act’s Name | Late fees/ day |
CGST act of 2017 | Rs. 100/- |
SGST act/ UTGST act, 2017 | Rs. 100/- |
Total | Rs. 200/- |
2. For Intra state supply:
Act’s Name | Late fees/ day |
IGST act of 2017 | Rs. 200/- |
3. Reduced Late fee:
Act’s Name | Late fees/ day |
IGST act | Rs. 50/- |
4. For Nil return supply:
Act’s Name | Late fees/ day |
CGST act of 2017 | Rs. 10/- |
SGST act/ UTGST act, 2017 | Rs. 10/- |
IGST Act | Rs. 20/- |
5. Fee for GSTR-9:
Act’s Name | Late fees/ day |
CGST act of 2017 | Rs. 100/- |
SGST act/ UTGST act, 2017 | Rs. 100/- |
IGST Act | Rs. 200/- |
6. Interest rate are as Follows:
Circumstance | Interest |
Delayed Payment of GST | 18% / A |
Excessive IT claim | 24% / A |
Excess output tax liability | 24% / A |
Fine and Trials:
- For evading or input tax credit availed or wrongly taken refund for the amount between Rs. 1 crore and Rs. 2.5 is applicable for non-bailable imprisonment of 3 years with fine.
- For tax evading for the amount more than Rs. 2.5 crores- 5 years of imprisonment with fine.
- Failing to furnish the information or providing wrong information- a period of six-month trail with fine.
- For tax evading for the amount between Rs. 50 Lakhs and Rs. 1 Crore- imprisonment for a year with fine.
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