In the extraordinary circumstances of Covid-19, The Union Finance Minister Ms. Nirmala Sitharaman has come up with an economic package and with comprehensive details regarding the extended date of filing GSTR-3B. A press conference was held on 24th March 2020 to this effect which was also chaired by the Minister of State Mr. Anurag Thakur. The deadlines related to GST were the second set of announcements which were delivered in both English as well Hindi languages to the masses. The English version was carried by the Union Finance Minister Ms. Nirmala Sitharaman and the Hindi translation of the same was given by Minister of State Shri Anurag Thakur.
There had been a lot of ambiguity after the press conference regarding the filing of GSTR-3B, so to keep you ahead of time and explain the matter in simple words; we have come up with an article.
Note: The information is relevant to those people who are registered under GST Registration.
A big relief has been given to the people (having an annual turnover of less than 5 Crore) by extending the date of filing GSTR-3B which was due in March, April, and May to 30th June 2020 which is applicable for February 2020 as well.
The confirmation regarding the extended return dates for February 2020 is given in the twitter handle of ‘The Central Board of Indirect Taxes and Customs’ or CBIC. The tweet said that the extended date is applicable to those people, who have made a supply in the months of February, March, and April 2020
Paragraph 1 of the press release specifically said that there will be no interest for delayed payment, no late fee, and no penalty on the people with aggregate turnover up to 5 Crore.
However, there is no due date extension for people having an aggregate turnover of 5 Crore and above. The people have to file their returns in the old manner which is generally till 20th of a month.
Returns of March- 20th April 2020 Returns of April- 20th May 2020 Returns of May- 20th June 2020 (now can be extended to upmost 30th June 2020)
But relaxation has been given. The people will not be charged for late fees and penalties with an annual turnover of 5 Crore and above.
However, the big companies/people with an annual turnover of 5 Crore and above have to pay an interest for delayed payment of GSTR-3B but with another 15 days relaxation being given to them which was specifically mentioned in paragraph 2 of the press release. The interest has been reduced from 18% which is prescribed under Section 50, sub-section 1 to 9% i.e. 4.5% CGST+4.5%SGST.
Suppose you file your GSTR-3B for March before the due date of May or within 15 days from the due
date then you won’t be charged for late fees, penalty, and even interest.
But if you are making a delayed payment after 15 days from the due date then a 9% interest is livable as mentioned in the previous point.
But any GST return filed after 30th June 2020 will attract an interest of 18 % as prescribed under Section 50, sub-section 1 and late fees as well.
Another important information mentioned in paragraph 5 of the press release says that the due date of any return, compliance, etc. under GST which is expiring between 20th March 2020 to 29th June 2020 shall be extended to 30th June 2020.
Note: All these changes were made due to Covid-19 and hence are one-time measure.
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