Big Relief for Taxpayers:
Waiver of Late Fees for Filing GSTR-9C
By Yogesh Verma (CS/LLB) / 2 min read / GST Article
The Government of India has recently announced a major
relief for taxpayers by waiving a portion of late fees for filing FORM
GSTR-9C (reconciliation statement). This step is aimed at helping
businesses that missed deadlines in the past but are now willing to comply with
GST rules.
On January 23, 2025, the Ministry of Finance issued Notification
No. 08/2025 – Central Tax to provide clarity on this matter. Here’s
what you need to know.
What Does the Notification Say?
The notification waives late fees for taxpayers who delayed
filing FORM GSTR-9C for certain financial years. This is applicable if
the reconciliation statement is submitted by March 31, 2025.
Key Points:
1.
Who Can
Benefit? Businesses required to file GSTR-9C
but missed filing it along with their annual return GSTR-9 for the
following years:
·
2017-18, 2018-19, 2019-20, 2020-21, 2021-22,
2022-23
2.
How Much
Late Fee is Waived? Only the portion of the late fee
exceeding the standard amount under Section 47 of the GST Act is waived.
3.
Deadline
to Claim the Benefit: You must file FORM GSTR-9C
before March 31, 2025, to benefit from the waiver.
4.
No Refund
for Late Fees Already Paid: If you
have already paid the late fee for these financial years, you won’t get a
refund under this notification.
What is FORM GSTR-9C?
FORM GSTR-9C
is a reconciliation statement that matches your financial records with the GST
returns filed during the year. Businesses with turnovers above a specific
threshold need to file this form as part of their GST compliance.
Why This Waiver is Important
Many businesses faced challenges in timely filing due to:
- System
issues
- Lack
of clarity in GST provisions during the initial years
- COVID-19
disruptions
This waiver provides an opportunity for such businesses to
regularize their compliance without bearing heavy penalties.
What Should Taxpayers Do?
- Act
Fast: Ensure that all pending GSTR-9C
forms are filed before March 31, 2025. Missing this deadline will
result in a full late fee being charged.
- Seek
Professional Help: Consult
a tax expert if you are unsure about filing requirements.
Conclusion: This move by the government is a welcome step to support
businesses and ease compliance burdens. By waiving late fees, taxpayers now
have a chance to correct their past non-compliance and avoid additional
penalties.
Disclaimer: All the Information is based on the notification, circular and order issued by the Govt. authority and judgement delivered by the court or the authority information is strictly for educational purposes and on the basis of our best understanding of laws & not binding on anyone.
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