Late fees waived for composition taxpayers

late fees waived for composition taxpayers
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Late fees waived for composition taxpayers

Quarterly GSTR 4

GSTR 4 was the quarterly return (July 2017 to March 2019) to be filed by a taxpayer who has opted for composition levy under the GST regime. Generally, the due date to furnish the details in Form GSTR 4 is on or before the 18th of the month succeeding the quarter.

Note: There is no provision to revise the quarterly return GSTR 4 filed by composition taxpayer. If any amendments are required then that is to be done in the next quarter’s return.

Details relating to outward supplies, inward supplies, taxes paid interest, late fees, etc. need to be furnished in Form GSTR 4.

As per section 39(2) of the CGST Act,2017

“A registered person paying tax under the provisions of section 10 shall, for each quarter or part thereof, furnish, in such form and manner as may be prescribed, a return, electronically, of turnover in the State or Union territory, inward supplies of goods or services or both, tax payable and tax paid within eighteen days after the end of such quarter.”


Note this is applicable for FY 17-18 & FY 18-19 when GSTR 4 was a quarterly return. 
Late fees as waived/capped vide CGST notification no. 67/2020 dated 21st September 2020

A CGST notification no. 67 dated 21st September 2020 has been issued for providing a one-time waiver/capping of late fees.

Late fees payable as per section 47 for the delay in filing GSTR – 4

Return Period – July 2017 to March 2019

Prescribed period for filing – 22nd September 2020 to 31st October 2020

Tax payable > NIL:  Late fees will be Rs 500 per quarterly return ( Rs. 250 towards CGST + Rs. 250 towards SGST/UTGST).

Tax payable = NIL: Late fees will be NIL per quarterly return.

Note: Late fees u/s 47 is waived off not the interest u/s 50 for non-payment or delayed payment.


Late fees waived vide CGST notification no. 77/2018 dated 31st December 2018

GST council had taken a decision in the 31st GST council meeting held on 22nd December 2018 to waive off the late fees for non-filers of GST return for the quarters from July 2017 to September 2018.

Late fees payable as per section 47 for the delay in filing GSTR – 4 was waived.

Return Period – July 2017 to September 2018

Prescribed period for filing – 22nd December 2018 to  31st March 2019.

Tax payable > NIL: Late fees will be NILper quarterly return.

Tax payable = NIL: Late fees will be NIL per quarterly return.

Note: Late fees u/s 47 is waived off not the interest u/s 50 for non-payment or delayed payment.


Late fees as reduced vide notification no. 73/2017 dated 29th December 2017

Late fees payable as per section 47 for the delay in filing GSTR – 4 was reduced

Tax payable > NIL:  Late fees will be Rs 50 per day up to the period of default ( Rs. 25 towards CGST + Rs. 25 towards SGST/UTGST).

Tax payable = NIL: Late fees will be Rs 20 per day up to the period of default ( Rs. 10 towards CGST + Rs. 10 towards SGST/UTGST).

Note: Late fees u/s 47 is waived off not the interest u/s 50 for non-payment or delayed payment.


Late fees as per section 47 of CGST Act,2017

As per section 47 of the CGST Act,2017, any registered taxpayer who fails to file details in GSTR – 4 within the prescribed due date shall have to pay the late fees of Rs.100 per day towards CGST and Rs. 100 per day towards SGST/UTGST up to the period of default subject to a maximum of Rs 10,000 (Rs 5000 CGST+ Rs. 5000 SGST/UTGST).


Thought to ponder !!!

What happens of the late fees already collected for the delay in filing in Quarterly GSTR 4 from the composition taxpayers?

Is the Government planning to refund the late fees already collected or will it be credited to the cash ledger of the taxpayer?

The ones who would have not furnished quarterly returns in GSTR 4  would have certainly not filed the annual return in Form GSTR 9A for FY 2017-18 & FY 2018-19. Will they be given similar waiver/capping of late fees for GSTR 9A as well?

Why are the GST registration numbers still active despite non-filing of quarterly GSTR 4 by composition taxpayers? Has the Government failed to take any action against the defaulters/non-filers?



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CA Ankita Khetan
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