Ad-Free CAclubindia and daily updates on your mobile. Subscribe Now!

Interest charged on delayed payments gst will apply or not

Nandisha (Accountant) (63 Points)

16 January 2019

Dear Experts,
Interest u/s 50(1)on GST payment applicable or not?

If not applicable please provide the notification number

Thanks in advance

Reply
Follow
Share

3 Replies

Mohit lodhi (student) (952 Points)
Replied 16 January 2019

As per notification no. 13/2017 interest will be charged on delayed payment of tax.

3 Like

Upgrade to CAclubindia Pro. Subscribe Now!

sharif ahmed (ggggggg) (134 Points)
Replied 16 January 2019

As per GST valuation rules
Interest charges on delayed payment includes GST, so to determine the GST amount, we need to do reverse calculation.

1 Like

Vinod Babu (24191 Points)
Replied 17 January 2019

Vide notification no 13/2017 – Central Tax dated 28th June 2017, interest rate on late payment of GST under section 50 of CGST Act as below:

Interest on late payment of GST at 18% per annum.

if any person takes undue or excess claim of input tax credit (ITC) then person shall be liable to pay interest at 24% .

if any person takes undue or excess reduction in output tax liability then person shall be liable to pay interest at 24% .

interest at 18% or 24% P.A. on outstanding tax liability.

1 Like