Section 50. Interest on delayed payment of tax.-
(1) Every person who is liable to pay tax in
accordance with the provisions of this Act or the rules made thereunder, but
fails to pay the tax or any part thereof to the Government within the period
prescribed, shall for the period for which the tax or any part thereof remains
unpaid, pay, on his own, interest at such rate, not exceeding eighteen per
cent., as may be notified by the Government on the recommendations of the
Council:
1[Provided that the interest on tax payable in respect
of supplies made during a tax period and declared in the return for the said
period furnished after the due date in accordance with the provisions of
section 39, except where such return is furnished after commencement of any
proceedings under section 73 or section 74 in respect of the said period, shall
be levied on that portion of the tax that is paid by debiting the electronic
cash ledger.]
(2) The interest under sub-section (1) shall be
calculated, in such manner as may be prescribed, from the day succeeding the
day on which such tax was due to be paid.
2[(3) Where the input tax credit has been wrongly
availed and utilised, the registered person shall pay interest on such input
tax credit wrongly availed and utilised, at such rate not exceeding twenty-four
per cent. as may be notified by the Government, on the recommendations of the
Council, and the interest shall be calculated, in such manner as may be
prescribed
