GST NEWS
Govt waives off late fee on GST returns
Govt waives off late fee on GST returns
Sep 10, 2018

The government has launched a one-time scheme to waive late fee for delayed furnishing of filing the goods and services tax (GST) return-1 form for the period July 2017 to September 2018, to encourage taxpayers to furnish the returns.

The waiver, which will be effective till 31 October 2018, provides a lot of relief to businesses and traders, who have to file a summary of the transactions made every month in the GST return-3B form and a filed a detailed return of the sales in the GST return-1 form.

The GST return-1 form is a vital tool for the authorities in combating tax evasion as it gives details about the buyer. However, tax authorities have noticed that filings of the detailed sales return is lower than the summary return filings.

“Non-furnishing of GST return-1 is liable to late fee and penalty as per law. In order to encourage taxpayers to furnish GST return-1, a one-time scheme to waive off late fee payable for delayed furnishing of GST return-1 for the period from July 2017 to September 2018 till 31 October 2018 has been launched,” said the finance ministry.

Giving more time to businesses to file details of their sales makes sense as information contained in GST return-1 is of immense value to tax officials. It enables officials to find out who the buyer is, the quantum of purchase and whether the buyer has filed his return and paid taxes on subsequent transactions. Giving extra time for filing GST return-1 to businesses will help the authorities take strong anti-evasion measures in the future.

“GST return 1 is very intrinsic to the overall scheme of GST and an extension of the timelines would accelerate filings, “ said M.S.Mani, Partner, Deloitte India.

The ministry said that the due date for businesses with more than ₹1.5 crore, including those registered in Kerala, to file GST return 1 for the period July 2017 to September 2018, has been extended till 31 October 2018. This extension is also applicable to those entities with their principal place of business in Kodagu in Karnataka and Mahe in Puducherry.

Smaller tax payers, with annual sales less of than ₹1.5 crore, too, can also file GST return 1 without fine till the end of October. However, small tax payers in Kerala and those with their principal place of business in Kodagu and Mahe, the deadline will continue to be 15 November as announced last month.

The ministry also advised tax payers to file returns on time so that their tax credits do not lapse.

Source :  Livemint

Top Stories
FM simplifies GST refund claim process for businesses
Easing compliance burden for businesses, the Finance Ministry has said GST refunds can be claimed by...
Sep 6, 2018
181 Views
September last month to fix GST filing errors, claim credit for FY18
September is crucial for taxpayers under the new goods and services tax (GST) regime, as it will be ...
Sep 10, 2018
238 Views
Govt draws up plan to boost GST revenues
Alarmed by a nearly four-fold rise in GST compensation to states for June-July, the Finance Ministry...
Sep 10, 2018
153 Views
Companies not passing benefits of GST cut to customers, govt plans to hike penalty
Have the prices of regular use commodities come down after the government and the GST council slashe...
Sep 4, 2018
123 Views
GST returns: New system unlikely before next elections
The roll-out of the new simplified return-filing system for the goods and services tax (GST), which ...
Aug 31, 2018
230 Views
Articles on GST