Relief Measures announced in GST Compliances

In view of spread of pandemic COVID-19

(Issued vide gazette notifications dated 1st May 2021)

1. Waiver of Late Fees for delayed filing of GSTR 3B Return for the month of March & April 2021 [Notification No. 9/2021-CT dated 1st May 2021]:

Late fees for delayed filing of GSTR-3B return has been waived for different classes of taxpayers as under:

Category of taxpayer Tax Period Turnover Criteria Waiver of late fees
Regular taxpayer March & April 2021 Turnover more than 5 Cr in preceding financial year Late fees waived for 15 days
Regular taxpayer- Monthly Scheme March & April 2021 Turnover upto 5 Cr in preceding financial year Late fees waived for 30 days
Regular taxpayer- Quarterly Scheme (QRMP) January-March 2021 Turnover upto 5 Cr in preceding financial year Late fees waived for 30 days

2. Furnishing the statement of outward supplies in FORM GSTR-1 or Form- IFF [Notification No. 12/2021-CT & Notification No. 13/2021 both dated 1st May 2021]:

In terms of Notification No. 12/2021-CT dated 01.05.2021, the due date for filing statement of outward supplies in FORM GSTR-1 for the month of April 2021 is extended to 26th May 2021.

Further by virtue of Notification No. 13/2021-CT dated 01.05.2021, the due date for furnishing details of outward supplies for the month of April 2021 is extended to 28th May 2021.

3. Extension in due date for furnishing return by composition taxpayers [Notification No. 10/2021-CT dated 1st May 2021]:

The due date for furnishing return by composition taxpayers on an annual basis in FORM GSTR-4 for the FY 2020-21 has been extended till the 31st May, 2021.

4. Extension in due date for furnishing the declaration in ITC-04 [Notification No. 11/2021-CT dated 1st May 2021]:

The due date for furnishing the declaration in Form ITC-04 in respect of goods dispatched to a job worker or received from a job worker for the quarter Jan’21-Mar’21 has been extended to 31st May, 2021.

5. Reduction in Interest Rate for delayed payment of GST [Notification No. 8/2021-CT dated 1st May 2021]:

Interest Rate for delayed payment of GST has been reduced for different classes of taxpayers as under:

Category of taxpayer Tax Period Turnover Criteria Applicable Interest Rates (After reduction)
Regular taxpayer March & April 2021 Turnover more than 5 Cr in preceding financial year For first 15 days- 9% Thereafter- 18%
Regular taxpayer- Monthly Scheme March & April 2021 Turnover upto 5 Cr in preceding financial year For first 15 days- NIL For next 15 days- 9% Thereafter- 18%
Regular taxpayer- Quarterly Scheme (QRMP) March & April 2021 Turnover upto 5 Cr in preceding financial year For first 15 days- NIL For next 15 days- 9% Thereafter- 18%
Composition taxpayer January-March’21 Quarter For first 15 days- NIL For next 15 days- 9% Thereafter- 18%

6. Relaxation in restriction on availment of Input Tax Credit under rule 36(4) [Notification No. 13/2021-CT dated 1st May 2021]:

Rule 36(4) restricts the availment of input tax credit beyond 5% of the ITC reflected in Form GSTR 2A/2B.

However said restriction will not apply in individual months of April & May 2021, but will apply cumulatively for the period April & May, 2021 and the return in FORM GSTR-3B for the month of May, 2021 is to be furnished with the cumulative adjustment of input tax credit for those months

7. Extension of due date for furnishing TDS/TCS Returns [Notification No. 14/2021-CT dated 1st May 2021]:

The due date for furnishing statement of TDS deducted/ TCS Collected for the month of April, 2021 in Form GSTR-7/ Form GSTR-8 have been extended till 31st May, 2021.

8. Extension of due date for filing return by Input Service Distributor/ non-resident taxable person [Notification No. 14/2021-CT dated 1st May 2021]:

The due date of filing return by Input Service Distributor/ non-resident taxable person for the month of April, 2021 in Form GSTR-6/ Form GSTR-5 have been extended till 31st May, 2021

9. Relaxation of time limit for compliance (which falls during the period from 15th April 2021 to 30th May 2021 till 31st May 2021) under GST Law [Notification No. 14/2021-CT dated 1st May 2021]:

In view of the spread of pandemic COVID-19 across many parts of India, the government has announced relaxation of time limit for making various compliances under GST law, which is summarized as under:

Time limit for completion or compliance of any action:

Time limit for completion or compliance of any action, by any authority or by any person, which falls during the period from the 15th April, 2021 to the 30th May, 2021 is extended up to 31st May, 2021.

Time limit for completion of any proceeding or passing of any order or issuance of any notice- extended till 31st May 2021:

The time limit for completion of any proceeding or passing of any order or issuance of any notice, intimation, notification, sanction or approval or such other action, by whatever name called by any authority, commission or tribunal, which falls during the period from the 15th April, 2021 to the 30th May, 2021 is extended up to 31st May, 2021.

Time limit for filing of any appeal, reply or application- extended till 31st May 2021:

The time limit for filing of any appeal, reply or application or furnishing of any report, document, return, statement or such other record, by whatever name called, which falls during the period from the 15th April, 2021 to the 30th May, 2021 is extended up to 31st May, 2021.

Time limit for verification of application for fresh GST registration and approval thereof- extended till 15th June 2021:

The time limit for verification of application for fresh GST registration and approval/ grant of GST registration under rule 9 of CGST Rules, which falls during the period from the 1st May, 2021 to the 31st May, 2021 is extended up to 15th June, 2021.

Time limit for passing order of GST Refund u/s 54(5):

where a notice has been issued for rejection of refund claim and where the time limit for issuance of order u/s 54(5) read with sec 54(7) falls during the period from 15th April, 2021 to the 30th May, 2021, in such cases the time limit for issuance of the said order is extended to 15 days after the receipt of reply to the notice from the registered person or the 31st day of May, 2021, whichever is later.

Non-applicability of above extensions in specified cases as under:

However the aforesaid extensions of time shall not be applicable in following cases:

a) For determination of “Time of Supply” as envisaged in Chapter IV of CGST Act, 2017;

b) For withdrawal from composition scheme where turnover exceeds threshold limits as prescribed under section-10(3);

c) For application for New Registration u/s 25 or reg. of casual taxable person u/s 27

d) For issuance of Tax Invoice u/s 31

e) For filing of GSTR-1 u/s 37, Levy of Late Fees u/s 47 or levy of Interest for delayed filing of returns u/s 50 except as notified separately as per above paragraphs.

f) Power of arrest u/s 69; Liability of partners of firm to pay tax envisaged u/s 90.

g) Levy of Penalty for certain offences u/s 122

h) Detention, seizure and release of goods and conveyances in transit u/s 129.

i) Filing of return u/s 39 except sec 39(3), 39(4) and 39(5)

j) For compliance of E-way bill related provision u/s 68 i.e. generation of e-way bill, inspection of goods in movement u/s 68 etc.

Relevant Notification Links-

Title Notification No. Date
Relaxations in time limits for completion or compliance under GST law Notification No. 14/2021- Central Tax [G.S.R. 310(E)] 01/05/2021
CBIC extends due date for IFF to 28th May & amends rule 36(4) Notification No. 13/2021- Central Tax [G.S.R. 309(E)] 01/05/2021
GSTR-1 due date for April 2021 extended to 26th May 2021 Notification No. 12/2021- Central Tax [G.S.R. 308(E)] 01/05/2021
CBIC extends due date for filing GST ITC-04 to 31st May 2021 Notification No. 11/2021- Central Tax [G.S.R. 307(E)] 01/05/2021
CBIC extends due date for filing GSTR 4 (Composition Scheme) Notification No. 10/2021- Central Tax [G.S.R. 306(E)] 01/05/2021
Govt waives Late Fees on delayed filing of March/April GSTR 3B Return Notification No. 09/2021- Central Tax [G.S.R. 305(E)] 01/05/2021
Relaxation in GST interest rate for March & April 2021 Notification No. 08/2021- Central Tax [G.S.R. 304(E)] 01/05/2021
UTGST: Relaxation in GST interest rate for March & April 2021 Notification No. 01/2021-Union Territory Tax [G.S.R. 312(E)] 01/05/2021
IGST: Relaxation in GST interest rate for March & April 2021 Notification No. 01/2021-Integrated Tax [G.S.R. 311(E)] 01/05/2021

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(Disclaimer: This write up is based on the understanding and interpretation of author and the same is not intended to be a professional advice.)

[The author is a Chartered Accountant and can also be reached at [email protected]]

Author Bio

Qualification: CA in Practice
Company: R D N A AND COMPANY LLP
Location: Raipur, Chhattisgarh, India
Member Since: 09 May 2017 | Total Posts: 30
Nitin Goyal is a Practicing Chartered Accountants and his core area of expertise includes Income Tax, Goods & Services Tax, Customs, and Financial Valuations. He has completed his Chartered Accountancy in Nov’2015. He secured All India Rank- 48 in his Final Exams. He is also a qualified Compan View Full Profile

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4 Comments

    1. nitingoyal says:

      The Final return in Form-10 is required to be filed under section 45 of CGST Act, 2017. As section 45 is not covered in any exceptions given in notification no. 14/2021, the due date for filing GSTR-10 falling between 15th April to 30th May, will also be extended till 31st May 2021.

  1. CMA ANIL SHARMA says:

    good compilation of information. But nothing is mentioned about late fee for Composition scheme. Even in Notifications also it is not found. Any update.

    1. nitingoyal says:

      The due date for filing GSTR-4 for composition tax payers is extended till 31st May 2021, meaning thereby there will be no late fees for delayed filing of GSTR-4 till 31st May 2021.

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