InvestorQ : What were the main announcements made by the June 12 meeting of the GST Council?
prachi Patwardhan made post

What were the main announcements made by the June 12 meeting of the GST Council?

Answer
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3 months ago


GST Council did not really tweak any rates on Friday but did offer some relief to businesses on the filing front. Here are the key points to remember.

· Nirmala Sitharaman announced that late fee for filing monthly returns of transactions vide Form 3B has been waived purely to clean up pending returns.

· Businesses with no tax liability but default on filing returns between Jul-17 and Jan-20 can file the returns between July and September without late fee.

· Even where there is a tax liability and returns are not filed, the penalty will be capped at Rs.500 a month per return. This will ease the burden and ease compliance.

· The reduced late fee will only apply to GSTR 3B that is furnished between Ju-20 and Sep-20. The sole intent is to clear pendency and not to offer any concession.

· GST Council will halve the interest rate on tax liability to 9% for small tax payers with annual sales up to Rs.5 crore only for late filing beyond specified dates.