Hey friend,
Did you know businesses are required to file their GST returns each year ? The Income Tax Department of India decides a due date each year. If a taxpayer does not owe any GST, they are required to file ‘
nil returns’.
Take a look below to know how to calculate interest on late payment of GST. All your queries will be solved.
How to calculate interest on delayed payment of GST ?If a taxpayer fails to pay the GST charges incurred within the stipulated time, a late fee and interest is charged. Due to the pandemic and its impact on businesses, the government had relaxed a few deadlines, charges during the period of impact.
There are 2 ways to calculate late fees under GST.- Method used until May 2021 2. Method used from June 2021
This table holds details about late fees levied by the government on a registered Taxpayer before May 2021.
Particulars |
Late Fees |
1. GSTR 3B, GSTR 1 and GSTR 4 (If there are Sales) |
Rs 50 per day up to a maximum of Rs 10,000 |
2. GSR 3B, GSTR 1 and GSTR 4 (Nil Return) |
Rs 20 per day up to a maximum of Rs 10,000 |
3. GSTR 9 & GSTR 9A |
Rs 200 per day up to a maximum of 0.5% of turnover |
4. GSTR 10 (Final Return) |
Rs 200 per day |
This table holds details about late fees levied by the government on a registered Taxpayer from June 2021
| Turnover | Type of Return | Late Fees |
1. Nil returns |
GSTR 3B/GSTR 1 |
Rs 50 per day up to a maximum of Rs 10,000 |
2. Turnover upto Rs 1.5 Crores (other than Nil Returns) |
GSTR 3B/GSTR 1 |
Maximum Late Fees is Rs 2000 |
3. Turnover between Rs 1.5 crore to Rs 5 Crores (other than Nil Returns) |
GSTR 3B/GSTR 1 |
Maximum Late Fees is Rs 5000 |
4. Turnover above Rs 5 Crores |
GSTR 3B/GSTR 1 |
Maximum Late Fee is Rs 10,000 |
5. Nil returns |
GSTR 4 |
Maximum Late Fee is Rs 500 |
6. For Other than Nil Returns |
GSTR 4 |
Maximum Late Fees is Rs 2000 |
According to the date of filing and the delay, you can calculate the late fee from the table given above. You will need to pay the late fee charges otherwise, the charges will keep on piling and increasing each day.
This is all from my end on
how to calculate interest on late payment of GST.
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Authors Of The Question
How to calculate interest on late payment of GST ?
Walunir
618Views
2 Year
2022-03-29T21:32:19+00:00 2022-03-29T21:32:21+00:00Comment
1 Answers
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