CBDT provides relaxation in timelines for GST compliance

CBDT provides relaxation in timelines for GST compliance

In order to provide relief to businesses in this pandemic the government had issued few relaxations vide notification dated 1st May, 2021.

In this notification the government has given relief to GST taxpayers. This includes extension for filing GST returns, reduced the quantum of late fee, and even late fee has been waived in some cases for the months of March and April 2021.

Applicable Rate of Interest

The government has reduced the rate of interest where there is a delay in filing GST Returns along with tax payments for the month of March and April 2021;

   
Particulars   
   
Months   
   
Rate   of interest   

Turnover > 5 crores in Last FY (Monthly Returns)

March and April 2021

9% for the first 15 days from the due date and 18 per cent thereaft

Turnover < 5 crores in Last FY (Quarterly Returns, Monthly Payments)

March and April 2021

Nil for the first 15 days from the due date, 9% for the next 15 days, and 18% thereafter

Composition scheme

Quarter ended March 2021

Nil for the first 15 days from the due date, 9% for the next 15 days, and 18% thereafter

Note: Transactions made in the month of February 2021 and earlier in the month of March 2021 will be liable to interest at the rate of 18% and the concessional interest rates shall not be applicable.

Waiver of late fees for filing GSTR-3B

To save taxpayers from paying late fees for filling GSTR-3B, the government has provided late fees waiver for the month of March and April 2021.

Check out the table given below to know late fees waiver;

   
Particulars   
   
Months   

Late fees waiver

Monthly Return filers (Turnover > 5 crores)

March and April 2021

15 days from due date

Monthly Return filers (Turnover < 5 crores)

March and April 2021

30 days from due date

Quarterly Return filers

Quarter ending March 2021

30 days from due date

Composition scheme

Quarter ended March 2021

Delay of first 15 days – NIL, Delay in next 15 days – 9%, thereafter – 18%

Note: No late fees will be levied if Form GSTR-3B filed within 30 days from the original due date, for the quarter ending 31st March 2021.

Extension of Due Dates in regards to forms

The due date of filing a few forms has been also extended to save taxpayers from unwanted circumstances, such as penalties, late fees, etc.


Forms

Relates to

For Month/Quarter/Year

Due Date

Extended Date

GSTR-4

Composition Scheme Annual Return

FY 2020-21

30th April 2021

31st May 2021


ITC-4

Details of goods received or sent to job worker

1st Quarter (January to March)

25th April 2021

31st May 2021


GSTR-1

Monthly or Quarterly Return

April 2021

11th May 2021

26th May 2021

IFF

Invoice Furnishing Facility for those who are under registered under QRMP scheme

April 2021

13th May 2021

28th May 2021

Other extended time limits

1. Any time limit for compliance under GST law, during the period 15th April 2021 to 30th May 2021 has been extended to 31st May, 2021 except:

(a) Time of supply

(b) Registration procedures

(c) Time limit for issuing tax invoices

(d) Returns (as it is extended under other notifications)

(e) Arrest

(f) Penalty

(g) Detention / Seizure

(h) E-Way Bill

2. Time limit for any registration procedure between the period of 1st May to 31st May 2021 shall stand extended to 15th June, 2021.

Examples;

(a) Clarifications need to be sought by the officer within 7 days,

(b) Reply to clarifications needs to be furnished by the applicant within 7 days,

(c) Either approve or reject the registration within 7 days

3. Time limit for passing order in relation to rejection of refund claim between the period of;

·       15th April to 30th May, 2021 has been extended to 31st May 2021 or

·        15 days after receipt of reply to show cause notice,

whichever is later.

Conclusion

Almost in every GST compliance government has given some or the other relief. But GST taxpayers make sure that you will comply with applicable rules and regulations and file the returns before due date.

In case of any further clarification connect with Taxofile.

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