The late fee, according to GST rules, is a sum paid for the late filing of GST returns. When a GST Registered company fails to file GST Returns by the prescribed due dates, a prescribed late fee will be paid on each day of error. The late fee must be charged in cash, and the taxpayer cannot use the Input Tax Credit (ITC) available by electronic credit ledger to cover the late fee.
The late fee often applies to the failure to file Zero returns on time. For eg, even though there are no sales or transactions and no GST obligation to report in GSTR-3B, a late fee must be paid.
Here are the types of taxpayers and the due dates for the GST payments
Type of Taxpayer
GSTR-3B late payments are Rs. 20 (Rs. 10 for CGST and Rs. 10 for SGST) per day for NIL returns and Rs. 50 (Rs. 25 for CGST and Rs. 25 for SGST) in all other scenarios. A NIL return is one in which there are no transactions but there are acquisitions. The maximum penalty is Rs. 10,000 (Rs. 5,000 for CGST and Rs. 5,000 for SGST) for each return.
Late payments for GSTR-3B for a month to be charged in the next month. You cannot file a month’s return unless you have paid the prior month’s GST late fee waiver.
Late fees for GSTR-1 are Rs. 200 a day (Rs. 100 for CGST and Rs. 100 for SGST). Currently, the government would not accept late payments for GSTR-1. GSTR-1 was not taken into account in this calculator.
Late fees for GSTR-9 and GSTR-9A are Rs. 200 per day (Rs. 100 for CGST and Rs. 100 for SGST) up to a limit of 0.50 percent (0.25 percent for CGST and 0.25 percent for SGST) of turnover.
Late fees for GSTR-10 are Rs. 200 a day (Rs. 100 for CGST and Rs. 100 for SGST). There is no upper limit to the size of the penalty. Late payments must be charged for the return to be filed.
According to the GST Penalty rules, taxpayers who refuse to pay their taxes on time will be paid interest at the rate of 18% per annum. Interest will be charged for the days after the due date.
When taxpayers fail to file returns within the prescribed due dates, he is obligated to pay a late fee of Rs. 50/day, i.e. Rs. 25 per day in each case of CGST and SGST (in case of any tax liability) and Rs. 20/day, i.e. Rs. 10/- day in each CGST and SGST (in case of Zero tax liability), subject to a limit of Rs. 5000/-, from the provided amount.