Covid-19 Impact: Govt waives GSTR-3B late fees, extends tax return dates

The government has announced to waive the late fee on delayed filing of monthly return GSTR-3B and tax payment for the month of March and April. It has also reduced the interest rate for late filers. GSTR-3B is filed by businesses in a staggered manner between 20th-24th day of the succeeding month.

Those taxpayers who have a turnover of over Rs 5 crore have been given 15 days extra time to file monthly summary return GSTR-3B and pay taxes without paying any late fees.

Those with a turnover up to Rs 5 crore in the preceding financial year have 30 days more time from their original due date for filing 3B returns for March and April, with a late fee waiver.

These relaxations come into effect from April 18, as per the notification issued by the Central Board of Indirect Taxes and Customs (CBIC) on May 1.

The due date for filing April sales return GSTR-1 has also been extended from May 11 to May 26.

For composition dealers filing sales return GSTR-4, the deadline for filing returns for the financial year ended March 31, 2021, has been extended by a month till May 31.

The government has introduced compliance-related reliefs for March and April 2021, due to covid-19 induced challenges faced by the businesses, said Rajat Mohan, Senior Partner, AMRG & Associates. Every taxpayer of the country is eligible for some form of extension irrespective of the size of operations.

“Large taxpayers will enjoy a full waiver of late fee, and partial relief in levy of interest wherein GSTR -3B filings are delayed up to 15 days. However, small taxpayers will enjoy similar benefits even if such filings are delayed up to 30 days,” Mohan added.