Summary of Various Reliefs provided to Taxpayers in GST (Updated)

Summary of Various Reliefs provided to Taxpayers in GST

Due to COVID-19 pandemic and challenges faced by taxpayers, Government has extended dates for GST filings. These are notified vide Notifications 51 to 54/2020 dated 24.06.2020 and Notification No 57/2020-CT dated 30.06.2020. A Circular No. 141/1/2020-GST dated 24th June, 2020 has also been issued in this regard.

1. Late Fee Relief to Normal Taxpayers filing Form GSTR-3B:

a. Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

b. Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY

Note 1: If the registered persons fail to furnish Form GSTR-3B returns for the tax periods according to the condition mentioned in the Table 1(a) and (b) above, but furnish the returns till the 30th day of September, 2020, the total amount of late fee payable shall be completely waived if the tax payable is NIL and shall be capped at Rs 500 per return, in case of any tax liability.

Note 2: For the taxpayers having an aggregate turnover of more than Rs 5 Cr. in the preceding financial year, who fail to furnish the return in FORM GSTR-3B for the months of May, 2020 to July, 2020, by the due date but furnish the said return till the 30th day of September, 2020, the total amount of late fee shall be capped at Rs 500 per return and shall stand fully waived for those taxpayers where the total amount of tax payable in the said return is Nil.

2. Late Fee Relief to Normal Taxpayers filing Form GSTR-1:

Note: –

1) If Form GSTR-1 for the period mentioned in Tables above is not filed by the notified dates, late fee will become payable from the due dates for these returns.

2) Late Fee Relief to Taxpayers who are yet to file Form GSTR-3B for any month(s) from July, 2017 till Jan., 2020 vide Notification No. 52/2020 – Central Tax dated 24.06.2020:

Note: –

1) Normal Interest @18% p.a. applicable

4. Relief in Payment of Interest to Normal Taxpayers filing Form GSTR-3B:

a. Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Illustration of calculation of interest for taxpayers having aggregate turnover above Rs. 5 Cr.

The calculation of interest in respect of this class of registered persons for delayed filing of return for the month of March, 2020 (due date of filing being 20.04.2020) is as illustrated in the Table below:

b. Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep)

c. Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi)

Illustration of calculation of interest for taxpayers having aggregate turnover upto Rs. 5 Cr.

The calculation of interest in respect of this class of registered persons for delayed filing of return for the month of March, 2020 (for registered persons for whom the due date of filing was 22.04.2020) and June, 2020 (for registered persons for whom the due date of filing is 22.07.2020) is as illustrated in the Table below:

Due to COVID-19 pandemic and challenges faced by taxpayers, Government has extended dates for GST filings. These are notified in Notifications 30, 34 & 35/2020 dated 03.04.2020 & 47/2020 dated 09.06.2020 & 55/2020 dated 27.06.2020.

5. Opt in for Composition in FY 2020-21

Normal Taxpayers wanting to opt for Composition should not file GSTR3B and GSTR 1 for any tax period of FY 2020-21 from any of the GSTIN on the associated PAN.

6. Compliances for Composition taxpayers:

7. NRTP, ISD, TDS & TCS taxpayers:

8. Extension of validity period of EWB vide Notification No. 47/2020 – Central Tax dated 09.06.2020:

The validity of E-way bills (EWBs), generated on or before 24th March, 2020, and whose validity expiry date lies on or after 20th March, 2020, is deemed to have been extended till 31^st August, 2020.

Other Provisions

9. The Central Government hereby appoints the 30th day of June, 2020, as the date on which the provisions of sections 118, 125, 129 and 130 of the said Act, shall come into force vide vide Notification No. 49/2020 – Central Tax dated 24.06.2020

10. Rates of Composition Supplies vide Notification No. 50/2020 – Central Tax dated 24.06.2020 w.e.f 01.04.2020

11. Manner of calculating the period of thirty days for filing application for revocation of cancellation of registration vide Removal of Difficulty Order No. 01/2020-Central Tax dated 25.06.2020

The purpose of calculating the period of thirty days for filing application for revocation of cancellation of registration under sub-section (1) of section 30 of the Act for those registered persons who were served notice under

Section 29(2)(b) – a person paying tax under section 10 has not furnished returns for three consecutive tax periods; or

Section 29(2)(c) – any registered person, other than a person specified in clause (b), has not furnished returns for a continuous period of six months;

in the manner as provided in

Section 169(1)(c) – by sending a communication to his e-mail address provided at the time of registration or as amended from time to time; or

Section 169(1)(d) – by making it available on the common portal;

and where cancellation order was passed up to 12th June, 2020, the later of the following dates shall be considered: –

a) Date of service of the said cancellation order; or

b) 31st day of August, 2020.

12. Manner of furnishing of return or details of outward supplies by short messaging service facility

Now you can file your NIL GSTR-1 through SMS too. This facility has already been provided for NIL filing of GSTR-3B.

Please send SMS in the prescribed format to avail the facility of NIL filing of GSTR-1 and GSTR-3B through SMS.

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(Republished with Amendments)