Government provides GST relief to mitigate impact of Covid-19 on MSMEs - (12 Jun 2020)
Goods and Services Tax
The Novel Coronavirus (COVID- 19) and its spread are causing severe disruption to society and to most of the businesses across the globe. Ongoing covid outbreak has led to a massive change in organisational and structural working in global economy. In order to mitigate impact of Covid-19 on on micro, small and medium enterprises (MSMEs), the 40th GST Council met under the Chairmanship of Union Finance and Corporate Affairs Minister and decided to waive off fees for late filing returns. Now, the late fee for non-furnishing FORM GSTR3B for the tax period from July, 2017 to January, 2020 has been reduced. ‘NIL’ late fee, if there is no tax liability; Maximum late fee capped at Rs. 500 per return, if there is any tax liability.
The reduced rate of late fee would apply for all the GSTR-3B returns furnished between 1st July, 2020 to 30th September, 2020. Further, for small taxpayers (aggregate turnover upto Rs. 5 crore), for the supplies effected in the month of February, March and April, 2020, the rate of interest for late furnishing of return for the said months beyond specified dates (staggered upto 6th July 2020) is reduced from 18% per annum to 9% per annum till 30th September, 2020.
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 30th September, 2020, in all cases where registrations have been cancelled till 12th June, 2020. Certain clauses of the Finance Act, 2020 amending Central Goods & Services Tax Act, 2017 (CGST) and Integrated Goods and Services Tax Act, 2017 (IGST) is to be brought into force from 30th June, 2020. In view of the challenges faced by taxpayers in meeting the compliance requirements under pandemic conditions, the Union Finance Minister had announced several relief measures relating to statutory and regulatory compliance matters across all sectors from time to time.
Tags : GST RELIEF MEASURES WAIVER FEES