Recommendation of 40th GST Council Meeting
Reduction in Late Fee for past Returns: For all those who have no tax liability but have not filed GST returns for tax period July 2017-Jan 2020 (prior to COVID 19 period), there shall be no late fee at all.
Maximum late fee capped at Rs 500 per return: For people who “have tax liability”, maximum late fee for non filing of GSTR 3 B returns for period Jul 2017-Jan 2020 has been capped to 500. This will apply to all returns submitted during Jul 1, 2020-Sep 30, 2020
Relief for small taxpayers for late filing of returns for February, March & April 2020 Tax periods: For small tax payers whose “aggregate turnover is up to 5 crore”, the rate of interest for late furnishing of GST returns for Feb, Mar and April 2020 beyond July 6, 2020 the rate of interest is being reduced from 18% to 9%.
Relief for small taxpayers for subsequent tax periods (June & July 2020): Small tax payers “whose aggregate turnover is up to 5 crore” will be provided a waiver of late fees and interest if they file the form GSTR-3B for the supplies affected in months of May, June and July 2020 by September 2020 no late fee or interest.
One time extension in period for seeking revocation of cancellation of registration:
Taxpayers who could not get cancelled GST registrations restored in time are being given an opportunity to apply for “revocation of cancellation” of registration up to September 30, 2020 In all cases where registration has been cancelled till June 12, 2020.
A special “one agenda” GST Council meeting will be held in July 2020 to discuss compensation cess which has to be given to states, and who should pay for the borrowing, if required
Certain clauses of the Finance Act, 2020 amending CGST Act 2017 and IGST Act, 2017 to be brought into force from 30.06.2020.
Tags : GST