Interest On Net Liability is Notified

*Interest in GST to be levied on net liability notified! wef 01/09/2020 vide Notification No. 63/2020 Central Tax*

In section 50 of the Central Goods and Services Tax Act, in sub-section (1), the following proviso shall be inserted, namely:––
“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.”.
Replies (2)
Quick Summary
New GST regulations effective from 1st September 2020 clarify that interest on tax payable will now be levied only on the net liability paid via the electronic cash ledger. This change, introduced via Notification No. 63/2020, applies prospectively and addresses how interest is calculated for delayed tax period returns.

So they overlooked the council's recommendation for retrospective amendment.

yes..... its being prospective

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