AIMTPA has made a request to an advisory titled ‘Payment of short paid late fee‘ issued by Email to Taxpayers by GSTN. As per the advisory The portal calculates late fee and taxpayer has to pay it mandatorily failing which, he cannot file his subsequent returns.As per the language of the Advisory, taxpayers have no other option than to make the payment of late fees if it is added in the GSTR 3B for the month of January / March 2022 since if this particular GSTR 3B is not filed the next returns cannot be filed and they may become defaulters all over again.
All India MSMF and Tax Professionals Association
AIMTPA
Ref:- AIMTPA/030/21-22 | Date:- 12-Jan-2022
To,
The Secretariat,
GST Council,
Jeevan Bharti Building, Janpath Road,
Connaught Place,
New Delhi 110 001
Reference: Advisory regarding payment of short paid late fee.
Subject: Regarding request to withdraw the said Advisory.
Apropos, taxpayers all over the country are in receipt of emails from the GSTN having a subject line as “Payment of short paid late fee”. In this regard, it is represented as under: ‑
1. Taxpayers do not have an option to make “short payment” of late fee. The portal calculates late fee and taxpayer has to pay it mandatorily failing which, he cannot file his subsequent returns.
2. Section 47 of the CGST Act mandates imposing late fees “during the period of delay” and not after the delay has been made good. The use of the word “during” quintessentially limits charging of late fees (at the decided rate) when the period of delay is actually running.
3. As stated above, taxpayers have no option than to make short payment of late fees on their own accord and governing section empowers imposing and collecting late fees “during” the period of delay and not afterwards.
4. As per the language of the Advisory, taxpayers have no other option than to make the payment of late fees if it is added in the GSTR 3B for the month of January / March 2022 since if this particular GSTR 3B is not filed the next returns cannot be filed and they may become defaulters all over again.
5. Considering all of the above, it is earnestly prayed to withdraw the aforesaid Advisory in the interest of natural justice to all the recipient taxpayers.
6. Copy of this representation is being forwarded to all State GST Commissioners, CBIC and Ministry of Finance for their ready reference.
We hope that the same shall be considered positively, and also hope for extended cooperation in the future.
Thanking you,
JAI HIND
Team AIMTPA
