Interest not fully waived i.e. conditional waiver of interest even after relaxation of GST return due date | Must read

written by GST expert | June 24, 2021

Recently due to pandemic we had seen conditional waiver of interest and late fees for filing of GSTR 1 and GSTR 3B wherein due dates were extended. The extended due dates for GSTR 3B during first half of 2021 for different type of taxpayers are as under:

FORM GSTR-3B
TAXPAYERS HAVING AGGREGATE TURNOVER > RS. 5 CRORES IN PRECEDING FINANCIAL YEAR
Tax Period Due date Extended Due Date Interest for late payment of tax in GSTR 3B Late fees waived if return filed on or before*
No interest payable till Interest payable @ 9% p.a. for below period Interest payable @ 18% p.a.  after
Mar, 2021 20th Apr, 2021 Not available Not Applicable 21st Apr to 05th May, 2021 06th May, 2021 05th May, 2021
Apr, 2021 20th May, 2021 Not available Not Applicable 21st May to 04th June, 2021 05th June, 2021 04th June, 2021
May, 2021 20th June, 2021 Not available Not Applicable 21st June, 2021 to 05th July, 2021 06th July, 2021 05th July, 2021

TAXPAYERS HAVING AGGREGATE TURNOVER UPTO RS. 5 CRORES IN PRECEDING FINANCIAL YEAR

Taxpayers who have opted for QRMP (Quarterly Return Monthly Payment) Scheme and are registered in following states – 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:

Tax Period Due date Extended Due Date Interest for late payment of tax in GSTR 3B Late fees waived if return filed on or before
No interest payable till Interest payable @ 9% p.a. for below period Interest payable @ 18% p.a. after
Jan to Mar, 2021 22nd Apr, 2021 Not available 07th May, 2021 08th May, 2021 to 21st June, 2021 22nd June, 2021 21st June, 2021
Apr, 2021 (Form GST PMT-06) 25th May, 2021 Not available 09th June, 2021 10th June, 2021 to 09th July, 2021 10th July, 2021 Not Applicable
May, 2021 (Form GST PMT-06) 25th June, 2021 Not available 10th July, 2021 11th July, 2021 to 25th July, 2021 26th July, 2021 Not Applicable

Taxpayers who have opted for QRMP (Quarterly Return Monthly Payment) Scheme and are registered in following states – 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:

Tax Period Due date Extended Due Date Interest for late payment of tax in GSTR 3B Late fees waived if return filed on or before
No interest payable till Interest payable @ 9% p.a. for below period Interest payable @ 18% p.a. after
Jan to Mar, 2021 24th Apr, 2021 Not available 09th May, 2021 10th May, 2021 to 23rd June, 2021 24th June, 2021 23rd June, 2021
Apr, 2021 (Form GST PMT-06) 25th May, 2021 Not available 09th June, 2021 10th June, 2021 to 09th July, 2021 10th July, 2021 Not Applicable
May, 2021 (Form GST PMT-06) 25th June, 2021 Not available 10th July, 2021 11th July, 2021 to 25th July, 2021 26th July, 2021 Not Applicable

TAXPAYERS HAVING AGGREGATE TURNOVER UPTO RS. 5 CRORES IN PRECEDING FINANCIAL YEAR

Taxpayers not under QRMP (Quarterly Return Monthly Payment) Scheme:
Tax Period Due date Extended Due Date Interest for late payment of tax in GSTR 3B Late fees waived if return filed on or before*
No interest payable till Interest payable @ 9% p.a. for below period Interest payable @ 18% p.a. after
Mar, 2021 20th Apr, 2021 Not available 05th May, 2021 06th May, 2021 to 19th June, 2021 20th June, 2021 19th June, 2021
Apr, 2021 20th May, 2021 Not available 04th June, 2021 05th June, 2021 to 04th July, 2021 05th July, 2021 04th July, 2021
May, 2021 20th June, 2021 Not available 05th July, 2021 06th July, 2021 to 20th July, 2021 21st July, 2021 20th July, 2021

However, there has been some extension in due dates for filing GSTR 1 for first half of 2021 and other such returns which are as under:

Extension in Due Dates:

Form Tax Period Due Date Extended Due Date
GSTR-1 April, 2021 11th May, 2021 26th May, 2021
May, 2021 11th June, 2021 26th June, 2021
IFF April, 2021 13th May, 2021 28th May, 2021
May, 2021 13th June, 2021 28th June, 2021
ITC-04 Jan to Mar, 2021 25th Apr, 2021 30th June, 2021

Now if you look at the above table government has extended due date for GSTR 1 for the month of May 2021 upto 26th June 2021 but the due date for GSTR 3B for taxpayer with turnover above Rs. 5 crore is still 20.06.2021. Hence, if they go to file GSTR 3B within due date, their GSTR 2B won’t be generated and which might give an error if someone claims credit.

Further, although late fees has been waived for GSTR 3B but still interest could be charged if tax not paid within 15 days from original due date so which again raises a question that can someone fulfill his liability to pay tax under GST just by depositing tax with government in cash ledger or filing GSTR 3B is considered as payment of tax?

 

Disclaimer: The views presented in the above article are personal views of our team and has no legal binding. For any legal opinion consult a tax professional.

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