Government on Friday announced a slew of measures for easing Goods and Services Tax (GST) compliance norms at its first meeting since the nationwide lockdown was implemented to prevent the spread of coronavirus pandemic. The measures ranged from waiving off late fee to reducing interest on late filing of GST for small businesses as the country battles COVID-19 pandemic.
GST Council at its 40th meeting held via video conferencing decided that there will be no late fees for those who have no tax liabilities but have not filed their GSTR -3B returns between July 2017 and January 2020.
The government also reduced interest on late GST filing for small businesses with a turnover up to Rs 5 crore from 18 per cent to 9 per cent for furnishing late returns for months of February, March and April 2020 beyond July 6, 2020.
“The small taxpayers will not be charged any interest till the notified dates for relief (staggered upto 6th July 2020)and thereafter 9 per cent interest will be charged till 30.09.2020,” the government said in a press release.
In wake of COVID-19 pandemic, for taxpayers having aggregate turnover up to Rs. 5 crore, further relief was provided by waiver of late fees and interest if the returns in form GSTR-3B for the supplies effected in the months of May, June and July, 2020 are furnished by September, 2020, the release said.
To facilitate taxpayers who could not get their cancelled GST registrations restored in time, an opportunity is being provided for filing of application for revocation of cancellation of registration up to September 30, 2020, in all cases where registrations have been cancelled till June 12, 2020.