Interest rate on delay payment of GST
This query is : Resolved
09 July 2024
Section 50 of the Central Goods and Services Tax (CGST) Act, 2017 deals with the payment of interest on delayed payment of GST. Here’s an overview of what it entails:
1. **Interest on Delayed Payment:**
- Section 50 mandates that interest is payable on any amount of GST that is not paid within the prescribed period. The interest is calculated from the day after the due date of payment until the date of actual payment.
2. **Calculation of Interest:**
- The interest is calculated on the amount of tax that is unpaid, from the due date of payment. It is computed on a daily basis at a rate specified by the government, which is generally 18% per annum (1.5% per month).
3. **Types of Delays:**
- Interest under Section 50 applies to various delays, including:
- Delay in filing GST returns resulting in the delay of tax payment.
- Delay in making payment after issuing an invoice (output tax liability).
4. **Applicability:**
- Section 50 applies uniformly across GST law and is applicable to all taxpayers, whether registered under regular scheme, composition scheme, or any other special category.
5. **Exceptions and Relief:**
- There are certain provisions under which interest may not be applicable or may be reduced, such as in cases of genuine hardships or technical glitches on the GSTN portal, subject to specified conditions.
Regarding "F34," it seems you might be referring to a specific form or document related to GST filings or procedures. If "F34" refers to a particular form or document in your context, please provide more details so I can assist you accurately.
1. **Interest on Delayed Payment:**
- Section 50 mandates that interest is payable on any amount of GST that is not paid within the prescribed period. The interest is calculated from the day after the due date of payment until the date of actual payment.
2. **Calculation of Interest:**
- The interest is calculated on the amount of tax that is unpaid, from the due date of payment. It is computed on a daily basis at a rate specified by the government, which is generally 18% per annum (1.5% per month).
3. **Types of Delays:**
- Interest under Section 50 applies to various delays, including:
- Delay in filing GST returns resulting in the delay of tax payment.
- Delay in making payment after issuing an invoice (output tax liability).
4. **Applicability:**
- Section 50 applies uniformly across GST law and is applicable to all taxpayers, whether registered under regular scheme, composition scheme, or any other special category.
5. **Exceptions and Relief:**
- There are certain provisions under which interest may not be applicable or may be reduced, such as in cases of genuine hardships or technical glitches on the GSTN portal, subject to specified conditions.
Regarding "F34," it seems you might be referring to a specific form or document related to GST filings or procedures. If "F34" refers to a particular form or document in your context, please provide more details so I can assist you accurately.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GSTR9 Annual Return
- Ito add credit side of bank
- Employee secondment
- Gift to nri relatives resides in usa
- GST ITC as per notification 12/2023- central tax
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Applicability of tax on invoice
- Form 144 TDS Return Validation error
- Rent agreement of House of deceased person
- Capital gain on commercial property and investment in residential property
- Import of Capital Machine
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
