New Delhi: Finance Minister Nirmala Sitharaman on Friday said no late fee will be levied for delayed filing of GST returns by registered entities with nil liability between July 2017 to January 2020.
Sitharaman held the 40th GST Council meeting through video conference. It was the first GST council meeting post COVID-19 lockdown.
Inverted duty structure hitting GST collections was discussed, Sitharaman said, adding the panel was looking at correction of duty inversion in footwear, fertiliser and textiles.
Sitharaman also said discussion on taxing pan masala will hopefully be taken up at GST Council's next regular meeting.
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The council has made the following recommendations:
- For the period from July 2017 to Jan 2020, which is prior to 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
- For people who have tax liability, maximum late fee for non-filing of GSTR-3B returns for period July 2017 - January 2020 has been capped to Rs 500. This will apply to all returns submitted during July 1, 2020 - September 30, 2020
- For small taxpayers, whose aggregate turnover is up to Rs 5 crore, for the supplies effected in the month of February, March and April, 2020, the rate of interest for late furnishing of return for the said months beyond specified dates (staggered upto 6th July 2020) is reduced from 18% per annum to 9% per annum till 30 September 2020
- In wake of COVID-19 pandemic, for taxpayers having aggregate turnover upto Rs. 5 crore, further relief provided by waiver of late fees and interest if the returns in FORM GSTR-3B for the supplies effected in the months of May, June and July, 2020 are furnished by September, 2020 (staggered dates to be notified)
- To facilitate taxpayers who could not get their cancelled GST registrations restored in time, an opportunity is being provided for filing of application for revocation of cancellation of registration up to September 30, in all cases where registrations have been cancelled till June 12
- A special one-agenda meeting will happen in July to discuss compensation requirements of state.
(With PTI inputs)
