Amnesty Scheme to provide relief to taxpayers regarding late fee for
pending returns:
Reduced GST Late fee for earlier periods
To provide relief to the taxpayers, late fee for non-furnishing FORM GSTR-
3B for the tax periods from July, 2017 to April, 2021 has been reduced / waived
as under: –
i. late fee capped to a maximum of Rs 500/- (Rs. 250/- each for CGST &
SGST) per return for taxpayers, who did not have any tax liability for
the said tax periods;
ii. late fee capped to a maximum of Rs 1000/- (Rs. 500/- each for CGST &
SGST) per return for other taxpayers;
The reduced rate of late fee would apply if GSTR-3B returns for these tax
periods are furnished between 01.06.2021 to 31.08.2021.
Reduced Late Fee for Future Periods
Rationalization of late fee imposed under section 47 of the CGST Act:
To reduce burden of late fee on smaller taxpayers, the upper cap of late fee is
being rationalized to align late fee with tax liability/ turnover of the taxpayers,
as follows:
A. The late fee for delay in furnishing of FORM GSTR-3B and FORM GSTR-
1 to be capped, per return, as below:
(i) For taxpayers having nil tax liability in GSTR-3B or nil outward
supplies in GSTR-1, the late fee to be capped at Rs 500 (Rs 250 CGST +
Rs 250 SGST)
(ii) For other taxpayers:
For taxpayers having Annual Aggregate Turnover (AATO) in
preceding year upto Rs 1.5 crore, late fee to be capped to a
maximum of Rs 2000 (1000 CGST+1000 SGST);
b. For taxpayers having AATO in preceding year between Rs 1.5
crore to Rs 5 crore, late fee to be capped to a maximum of Rs 5000
(2500 CGST+2500 SGST);
c. For taxpayers having AATO in preceding year above Rs 5 crores,
late fee to be capped to a maximum of Rs 10000 (5000 CGST+5000
SGST).
B. The late fee for delay in furnishing of FORM GSTR-4 by composition
taxpayers to be capped to Rs 500 (Rs 250 CGST + Rs 250 SGST) per return,
if tax liability is nil in the return, and Rs 2000 (Rs 1000 CGST + Rs 1000 SGST)
per return for others.
C. Late fee payable for delayed furnishing of FORM GSTR-7 to be reduced to
Rs.50/- per day (Rs. 25 CGST + Rs 25 SGST) and to be capped to a maximum
of Rs 2000/- (Rs. 1,000 CGST + Rs 1,000 SGST) per return.
All the above proposals to be made applicable for prospective tax periods.
