Interest Calculation – Late Payment of GST
Query (Issue) Started By: – Jatin Kumar Dated:- 30-11-2017 Last Reply Date:- 2-12-2017 Goods and Services Tax – GST
Got 10 Replies
GST
Sir,
We have not filed GSTR 3B Return for the month of October, 2017 due to tax fully not paid.
We have already done payment of ₹ 2,00,000 out of ₹ 3,25,000 GST Liability after avail of ITC.
My question is which amount taken for interest calculation for GST late payment ₹ 1,25,000 (325000 – 200000) or 3,25,000 (Rs. 2,00,000 balance in Electronic Cash Ledger) ?
Regards,
Jatin Kumar
Reply By KASTURI SETHI:
The Reply:
Rs.1,25,000/-
Reply By CS SANJAY MALHOTRA:
The Reply:
₹ 3,25,000/- as return submitted but no tax payment made as of now.
Deposit of cash does not mean that the liability has been paid off till the same is debited.
Interest is applicable from due date till the debit of tax amount in E Cash / credit ledger.
With due regards to Sh Kasturi ji, GST retu
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
as Revenue Collection.
Board has clarified this aspect in Circular No. 7/7/2017-GST dated 01.09.2017 (Para 11 & 12) issued for System based Reco of GSTR-3B
Submission of GSTR-3B without payment of taxes:
11. Where, for some reasons, the registered person has only submitted the return in FORM GSTR-3B and has not made the payment of taxes by debiting the same from his electronic cash or credit ledger, the return shall still be subjected to the reconciliation process as detailed above. Such registered person should furnish the details in FORM GSTR-1, Page 4 of 4 FORM GSTR-2 and sign and submit the return in FORM GSTR-3 along with the payment of the due taxes as per the provisions of section 49 of the Act.
However, since the payment was not made on or before the due date, the registered person shall be liable for payment of interest on delayed payment of tax starting from 26th day of August, 2017 till the date of debit in the electronic cash and / or credit ledger but will not be liab
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
roached for allowing part adjustments of tax payments in system. Lets hope for best to come in GST amendments.
Provisions already exists in GST law to make Tax payments in instalments subject to approval from Commissioner with payment of Interest later on.
Reply By KASTURI SETHI:
The Reply:
Dear Querist,
This is gross injustice with the assessees. Common Portal System should be amended. Make a representation to GST Council.
Reply By CS SANJAY MALHOTRA:
The Reply:
With due regards to all, am against any relaxation to one end if the other end suffers.
Relaxation for interest would mean Injustice with Receiver of goods, as until the tax is paid by the supplier and return is filed, Buyer will not get credit despite of entry being auto-populated from GSTR-1 to GSTR-2. The same will also cause revenue loss to Government.
Supplier should comply the provisions of law and make tax payments on time or challenge the constitution validity in High Court.
Discussion Forum – Knowledge Sh
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =