Waiver of late fees on GST returns

The late fee for delay in filing of GST returns has been waived off, whereas there is no waiver in the interest amount. Businesses were required to file the maiden Goods and Services Tax (GST) returns for July and pay taxes by August 25 by filing GSTR 3B. The final returns for sales for July are to be filed by September 5 and returns for purchases by September 10. A circular was issued to waive off the late fee on delayed filing of GSTR-3B for July.

As per the CGST and SGST Acts, an interest at the rate of 18 per cent will be levied for delayed payment of tax.

“Since the payment was not made on or before the due date, the registered person shall be liable for payment of interest on delayed payment of tax starting from August 26, till the date of debit in the electronic cash and/or credit ledger, but will not be liable to pay any late fee,” the CBEC said.

The GST law provided for a nominal fee of Rs 100 per day on Central GST and an equivalent amount on State GST in case of late filing of returns and payment of taxes.