Have you received a notice demanding late fees for delayed GSTR-1 filing, especially from FY 2020-2021? Here’s what you need to know before paying anything!
Legal Grounds Explained
Section 47 of the CGST Act mentions late fees for GSTR-1 delays, but only as a provision—it doesn’t automatically enforce collection. Under Rule 59, the GSTR-1 form must include a specific table for late fees to make these demands valid.
Why Current Notices May Be Baseless
Unlike GSTR-8, which recently had a late fee section added (effective October 26, 2023), GSTR-1 lacks this provision. If you’re facing a notice, remember: without an official format for late fees in GSTR-1, these demands lack legal backing.
Recommendation
Until the government amends the GSTR-1 form to include a late fee section, consider opposing any late fee demands for GSTR-1. This aligns with Section 73, which excludes late fees from tax recovery guidelines.
Final Takeaway
Stay informed about your rights and legal provisions! Challenging unjust late fee notices helps ensure you aren’t paying unfounded charges. Knowledge is your best defense!