Goods and Services Tax : Explore the distinction between interest on arbitrarily delayed and actual delayed GST payments under Section 50 of the CGST Act, ...
Goods and Services Tax : Explore the 53rd GST Council's decision on interest applicability under Section 50 of CGST Act and the new GSTR-1A amendment facil...
Goods and Services Tax : Understand GST interest implications: How interest is calculated, legal provisions, recent judgments, and impact on taxpayers' com...
Goods and Services Tax : Explore implications of depositing GST via PMT 06 before filing GSTR-3B. Learn about tax payment deadlines, interest liabilities, ...
Goods and Services Tax : Explore the Madras High Court ruling in Eicher Motor Ltd. v. Superintendent GST, stating no interest on GST if deposited on time, ...
Goods and Services Tax : In view of the challenges faced by taxpayers in meeting the statutory and regulatory compliances under Goods & Services Tax (GST) ...
Goods and Services Tax : CBIC has issued one GST Instruction, Two IGST Notifications, 6 CGST Notifications and one UTGST Notification on 24th June 2020. No...
Goods and Services Tax : Key outcome of 40TH GST council meeting – The 40th GST COUNCIL met under the chairmanship of Union Minister for Finance & Co...
Goods and Services Tax : Ahilya Chamber of Commerce and Industry has made a request to Prime Minister of India to instruct CBIC through Finance Ministry to...
Goods and Services Tax : CBIC has issued a Series of Tweet on 15th February 2020 and justified interest calculation on delayed GST payment on the basis of ...
Goods and Services Tax : Allahabad High Court directs payment of interest on delayed GST refund of ₹38.10 lakhs under Section 56 of the CGST Act, resolvi...
Goods and Services Tax : Supreme Court declines to interfere in the Special Leave Petition in the case of State of Bihar Vs Commercial Steel Engineering Co...
Goods and Services Tax : Explore the Gujarat High Court's judgment on CGST interest under Section 50, clarifying it's payable from deposit to electronic ca...
Goods and Services Tax : Explore the Telangana High Court's judgment on interest under Section 54 of the CGST Act, 2017, for delayed refund of Input Tax Cr...
Goods and Services Tax : Explore the Madras High Court judgment on challenging a bank attachment notice over GST interest liability. Detailed analysis and ...
Goods and Services Tax : CBIC Circular No. 192/04/2023-GST provides clarification on charging interest for wrong availment of IGST credit and its reversal ...
Goods and Services Tax : CBIC notifies the provisions of clause (c) of section 110 and section 111 of the Finance Act, 2022. Section 110 of Finance Act, ...
Goods and Services Tax : Govt provides waiver of interest for specified electronic commerce operators for specified tax periods vide Notification No. 08/20...
Goods and Services Tax : Deployment of Interest Calculator in GSTR-3B 1. The new functionality of interest calculator in GSTR-3B is now live on the GST Por...
Goods and Services Tax : GST Portal will now provide system computed interest in GSTR-3B to facilitate taxpayers in self-assessment. Interest will be compu...
Since its inception, GST Law has been a roller coaster ride for Government Departments, Practicing Professionals and various Tax Payers. GST Law has been amended number of times and in some cases with retrospective effect. Notifications and Circular are issued by the GST Department on almost daily basis for amendment and clarificatory purpose. A recent […]
Amid huge expectations from GST council from 39th meeting held on 14.03.2020, GST Council has recommended various changes in GST law to facilitate trade and industry at large. We present to you top 13 takeways from GST council meeting at New Delhi: 1. Interest on delayed payment to be calculated on net GST liability Council […]
The GST Council in its 39th meeting held on 14th March 2020 at New Delhi discussed and approved: (i) certain amendments in the GST Law and procedures; (ii) Changes related to GST Rates; and (iii) Recommended IT Roadmap I. Recommendations on IT Roadmap – A presentation was made by Mr. Nandan Nilekani on behalf […]
Key Highlights of 39th GST Council Meeting – 14th March, 2020 1. Current return filing system: GSTR-1, GSTR-3B continue till 30th September, 2020. New return filing deferred till 30th Sept, 2020. 2. E-invoicing: E-invoicing Extended till 01st October, 2020. Exempted certain classes of persons from generating E-invoicing. 3. Interest on net cash liability: Interest for […]
a. Interest for delay in payment of GST to be charged on the net cash tax liability w.e.f. 01.07.2017 (Law to be amended retrospectively). b. Where registrations have been cancelled till 14.03.2020, application for revocation of cancellation of registration can be filled up to 30.06.2020 (extension of period of application as one-time measure to facilitate those who want to conduct business).
A major controversy these days is on payment of interest for delayed GST on gross or net amount (net of ITC). Department is now demanding interest on gross amount and has sent numerous recovery notices throughout the country. However, there are few high court judgments to the contrary.
Interest liability shall arise only in respect of that portion of output tax which is being paid by cash.It was very harsh and unreasonable to ask for the interest on that portion of output tax that is being paid from the Input tax credit.
Sub-Section 2 of Section 50 mandates interest is to be calculated in such a manner as may be prescribed. However, so far no notification is issued under this Sub-Section. Hence no interest is payable under the provisions of CGST Act, until the manner of calculation is notified under the provisions of Section 50(2) of CGST Act.
Again in Sec. 50(1), the word used ‘Tax’ and not ‘Total Tax Liability’, so interest should be calculated on net tax amount which is to be paid in cash. So it is quiet crystal clear that the intention of the legislature is to levy interest only on the Tax amount [arriving after claiming Input Tax Credit from Output Tax liability ] which is to be paid in cash through NEFT etc mode.
We have received the aforesaid notice/advisory in which we have been directed to deposit the interest for late payment of Taxes (GST). In this regard we would like to submit as follows:- That the aforesaid notice does not indicate the section or provision under which the same has been issued. It appears that the aforesaid notice has not been issued as per the provisions of law.
