Minutes of ’42nd Council Meeting’: GSTR-1 Late Fees to be waived if filed before GSTR-3B

The GST Council in its 48th GST Council Meeting has approved waving off late fees on GSTR-1, if filed before GSTR-3B.

It is proposed that measures be taken to ensure that GSTR-1 is filed before GSTR-3B. It explained that what is proposed is that there is going to be a system check and late fee collected from 1st April 2021 if GSTR-1 is not filed.

It further stated that for the late fee on delayed furnishing of GSTR-1, currently there is an impression that on GSTR-1 there is no late fee though there is a late fee in law. The same is not being populated in the next month’s GSTR-3B and not being thus collected also unlike the late fee for delayed submission of GSTR-3B.

The proposal is that from 1st April 2021, GSTR-1 late fee also appears in the next GSTR-3B.

GSTR-1 Late Fees

Important to Revisit Minutes of ’42nd Council Meeting’

1️⃣Clear Intention to collect Late fee PROSPECTIVELY!!

2️⃣GSTR1 Late fee to be waived if filed before GSTR-3B 💥 – ‘APPROVED in meeting’

Might be useful! pic.twitter.com/mFwOqI2Qpq

— Abhas Halakhandi (@AbhasHalakhandi) December 7, 2022

Approval of Measures in 48th GST Council Meeting:

1. Approval measures to ensure GSTR-1 filing mandatory before GSTR-3B from 01.04.2021 through:

a.) Wavier of GSTR-1 Late fee if same is filed before GSTR-3B.

b.) Blocking of e-way bills to be enabled on system from 01.04.2021, if two consecutive GSTR-1’s are not filed.

2. Approved to populate GSTR-1 late fee in next GSTR-3B.

3. Approved to populate interest for late payment of tax also in next GSTR-3B from 01.04.2021.

4. Approved facility to add interest if part of the liability being declared in GSTR-3B pertians to earlier tax periods.