Relaxation on GST return filing during COVID-19

The year 2020 came with a deadly threat for every individual in the world. The universe is ensnared in a serious economic crisis because of the COVID-19 pandemic. It is evident to say that due to the pandemic, the global economy is grinding to a halt. Thus, the administration is taking a lot of steps to help their countrymen in all possible ways. The Government has announced certain relaxation on GST Return Filing during COVID-19

Goods and Services Tax:

GST or Goods and Services Tax came into effect on July 1, 2017, by the government of our country “India”. GST is a consumption tax collected by the central or state government levied on supplying goods and rendering services. GST revolves around the statement “ One Nation One Tax “. GST creates a semblance of the common market of the supply of goods and services or both without the fact as to where it takes place, has common treatment, and is provided with a common tax rate throughout the chain. The introduction of GST has made the process of paying tax very simple and efficient.

Coming to the administration system of India, the due date for GST return filingin the form of GSTR-3B is extended for February, March, April, and May 2020 by the Central Board of Indirect Taxes and Customs i.e. CBIC. The other relaxations introduced in the Filing procedure are mentioned below.

Extension of GSTR-3B filing due-date and how?

Due dates of the GST Return filing in Form GSTR-3B has now extended till 30th June 2020. The GSTR-3B due dates for May 2020 have now been extended astoundingly from 20th, 22nd, and 24th of June 2020 to the 27th June, 12th July, and 14th July.

As the extension is done in an astound manner, there are few points below for the explanation:

  1. The GST taxpayer who has been registered with an annual turnover up to Rs. 1.5 crore, the last date for filing the GSTR-3B has extended as mentioned below and the late fee for filing the returns has been abandoned.
  • March 2020: 3rd July 2020
  • April 2020: 6th July 2020
  • May 2020: 12th July 2020
  1. The GST taxpayer who has been registered with an annual turnover of more than Rs. 5 crores, the last date for filing the GSTR-3B has extended as mentioned below:
  • March 2020: 24th June 2020
  • April 2020: 24th June 2020
  • May 2020: 27th June 2020
  1. The GST taxpayer who has been registered with an annual turnover between Rs. 1.5 crore to Rs. 5 crores, the last date for filing the GSTR-3B has extended as mentioned below:
  • March 2020: 29th June 2020
  • April 2020: 30th June 2020
  • May 2020: 12th July 2020

The interest to be charged for the late filing of GSTR-3B:

To make everything work serenely, the Indian administration has reduced the rate of interest for the late GST return filing. The interest to be charged for the late filing of GSTR-3B is mentioned:

  1. The interest rate which was 12% earlier has been reduced down to 9% p.a. which will start from 15 days after the due date.
  2. Thereafter, every person paying tax will have to pay based on the earlier interest rate i.e. 18% p.a. in addition to the late fees for the late filing of GSTR-3B.

Relaxations are given for annual GST return filing:

The major relaxation provided to the GST taxpayers for the GST return filing and other compliances is that the due dates for filing GST annual returns for the financial year 2018-2019 have been extended from 31st March 2020 to 30th June 2020 due to the COVID-19 pandemic. The other relaxation as per the Finance Ministry is that the due dates for the issue of notices, notifications, sanction orders, filing of any appeal, approval orders, audit reports, any other GST return, applications, all sorts of documents and GST compliance were between 20th March to 29th June 2020 has now been extended to 30th June 2020.

Relaxation for the composition taxpayers:

The relaxation for the composition taxpayers is first, that the due date for GST Registration concerning composition scheme has been extended till 30th June 2020 and secondly, the deadline for GST payments for the quarter ending 31st March 2020 and also the GST return filing for the financial year 2019 to 2020 by the composition dealers shall also be extended till 30th June 2020.

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