GST Late Fee Calculator
Calculate GST Late FeeGST Late Fee Calculator is a practical tool designed to assist businesses and individuals in determining the late fees and interest amounts applicable to delayed GST monthly filings. Its primary purpose is to facilitate an easy assessment of penalties according to specific tax authority regulations, ensuring compliance and averting unnecessary financial strain.
How Does the GST Late Fee Calculator Work?
This calculator operates based on meticulous guidelines provided by tax authorities for computing late fees. It factors in various elements, such as the duration of delay and the values of tax liabilities and Input Tax Credit (ITC). By entering the required information into the calculator, users can accurately calculate the late fee amount and interest, ensuring precise compliance with GST regulations.
Check out our tool page to find out how to check your GST number and complete GSTIN verification quickly and efficiently. Check it!What Are the Interests and Late Fees Under the GST Act?
Interest becomes relevant in the context of delayed GST payments. Every registered taxpayer is obligated to pay interest if they settle their GST after the stipulated due date or if they assert surplus Input Tax Credit (ITC) or mitigate excess output tax liability. Ensure timely payment to avoid incurring interest charges. The interest on late payment of GST is as follows:
| Particulars | Interest |
|---|---|
| Tax paid after the due date | 18% |
| Excess ITC claimed or excess reduction in output tax liability | 24% |
Failing to submit GST returns within the specified deadlines incurs a late fee for taxpayers. The late fee varies based on the number of days beyond the due date. This late fee applies even to those who file 'NIL' returns under GST. Ensure timely submission to avoid incurring late fees. The following is the applicable late fee for GSTR-3B:
| Particulars | Normal Return Filers | Nil Return Filers |
|---|---|---|
| CGST Act | Rs 25 | Rs 10 |
| SGST/UTGST Act | Rs 25 | Rs 10 |
| IGST Act | Rs 50 | Rs 20 |
How to Use the GSTR-3B Late Fee Calculator?
To calculate the GST late fee accurately, follow these steps:
- Enter the Tax Period: Select the overdue month and year for filing GSTR-3B.
- Enter the filing date: Provide an estimated filing date.
- Input Tax Liabilities: Enter details of outward supplies, output tax liability (sales), and available Input Tax Credit (purchases).
- Click on Calculate: Once you input all necessary details, hit the 'Calculate' button to obtain the late fee amount, interest, and the total payable amount.
This tool offers quick insights into late fees and interest associated with delayed GST filings, allowing businesses to plan and comply with tax laws effectively. However, accuracy depends on the correctness of the provided information and adherence to local tax regulations.
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Frequently Asked Questions
How is the late fee calculated in GST?
The late fee calculation in GST varies based on various factors, including return type, state, due date, frequency of delays, and applicable notifications. Late charges for each GST return are computed daily.
What is the limit of the GST late fee?
The maximum late fee on a GSTR-3B return is Rs 10,000; a GSTR-1 return is fixed at Rs 500. The maximum limit indicates that the late fee cannot exceed the set amount regardless of the calculated late fee amount.
How is the GSTR 1 late fee calculated?
The late fee for late GSTR 1 filing is Rs.100 per day - Rs.50 under CGST and Rs.50 under SGST. For businesses with a turnover of up to Rs.1.5 crore, the late fee for GSTR-1 filing is Rs.20 per day (Rs.10 under CGST and Rs. 10 under SGST).
Do late fees attract GST?
Yes, late fees for delayed filing of GST returns attract GST. As per the GST law, late fees are considered as a consideration for the supply of services, and therefore, GST applies to the late fee amount.
Can GST late fees be waived?
GST late fees can be waived under certain circumstances. The government has the authority to waive or reduce the fee in cases where there are genuine reasons for the delay, such as technical glitches on the GST portal, natural disasters, or other exceptional situations beyond the taxpayer's control.
How are late fees calculated on invoices?
A late fee on due invoices varies for each company and is purely based on the company’s late payment terms and conditions. Typically, companies charge a flat fee or a percentage of the invoice amount as a late fee in cases where the customer fails to clear the invoice within the due date. Sometimes, the late payment is a one-time charge, or it could accrue daily, weekly or monthly.
How do I avoid late fees in GST?
Stay informed about the due dates for filing GST returns and try to file the returns on time. Set reminders, keep your records organized, or consider using billing software to streamline or automate the GST filing process.
What is the maximum late fee for GSTR 3B nil return?
For a GSTR-3B nil return, the maximum late fee levied is Rs.40 per day (Rs.20 under CGST and Rs.20 under SGST. However, the maximum late fee for a nil return is capped at Rs.500, irrespective of the total computed amount.
What is the maximum late fee for GSTR 1?
The maximum late fee on GSTR-1 returns is fixed at Rs 500.
What is the maximum penalty for GSTR 9?
The maximum penalty for late filing of GSTR 9 is 0.04% of turnover for businesses whose turnover is between Rs.5 crore and Rs.20 crore. For taxpayers whose turnover is over Rs.20 crore, it is 0.25%.