Tax authorities estimate interest dues of Rs 46,000 crore from GST taxpayers as penalty

Nearly interest dues of Rs 46,000 crore from GST taxpayers have been estimated by the Tax authorities as penalty for delayed payment, opening a fresh front against late and non-filers.

The CBIC has directed top officials all over the country in order to begin recovery proceedings against those who have not cleared their interest liability by 20th of every month. The CBIC has also directed to point out that the systems wing has done a detailed analysis of each GST Identification Number for non-payment of taxes by the same deadline.

In addition to a late payment fee of Rs 100 a day for central GST and a matching amount for state GST, the law also provides for a levy of 18% penal interest. As per the sources, CBIC has clarified that the interest has to be levied on the entire tax liability and not on the cash payment alone.