GST Dep. has started Looting the Small Taxpayer by issuing notice for short payment of Late fees

Hey Vishal,

I totally get your frustration — it’s a common pain point for many small taxpayers under GST. The department’s notices for short payment of late fees, especially when taxpayers have genuinely filed nil or regular returns, feel like a heavy burden and sometimes arbitrary.

A few thoughts and suggestions:

1. Double-check calculations: Sometimes, the portal’s auto-calculation of late fees can differ from the department’s view due to rounding, previous adjustments, or interpretation of return dates. Make sure your filings are spotless and match the dates exactly.

2. Respond to Notices Properly: Don’t ignore notices. Even if they seem unfair, reply with proof of your timely filings and payment receipts. If there is an error on their side, you can request a review or rectification.

3. Appeal & Representation: You can file a revision or appeal against wrongful notices. For small taxpayers, often professional help from a GST consultant or lawyer is helpful to draft proper replies.

4. Use Amnesty Schemes Wisely: The department does have amnesty schemes (like waiver of late fees for a period), but relying on them continuously can be risky. It’s best to stay compliant but aware of your rights.

5. Community & Associations: Small taxpayers can benefit from joining trade bodies or GST associations which raise collective voices with the government for relief and policy changes.

6. Stay Updated: Keep an eye on circulars or notifications from the GST council. Sometimes they clarify such issues or waive off fees after public pushback.

Bottom line: It’s tough, but don’t quit just yet. Fight with proper documentation, get professional advice if needed, and keep track of all communications.