Updates on GST Notifications Issued By Government on 3rd April 2020

Read the article to know about the special relief provided by the government to the taxpayers in India in view of spread of Corona Virus.

This article contains the special relief provided by the government to the taxpayers in view of the spread of Corona Virus (COVID-19). The spread of Novel Corona Virus (COVID-19) across many countries of the world, including India, has caused immense loss to the lives of people and resultantly impacted the trade and industry. In view of the emergent situation and challenges faced by taxpayers in meeting the compliance requirements under various provisions of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as the “CGST Act”), Government has announced various relief measures relating to statutory and regulatory compliance matters across sectors.

Major reliefs provided: –

  1. ITC restriction to 110 % of GSTR 2A to be applied cumulatively for Feb to Aug along with Sep
  2. Reduced rate of interest on delayed filing of GSTR 3B for Feb’20 to Apr’20
  3. Waiver of late fees of GSTR 1 and GSTR 3B for Feb’20 to Apr’20
  4. The extended time period for taxpayers opting for composition scheme
  5. Extended due date for GSTR 3B for the month of May 2020

Government has released 6 notifications along with Circular No 136/06/2020 – GST in this regard which is explained as under:-

Notification No. 30/2020 - Central Tax, Dated - 03-04-2020

Notification No. 30/2020-Central Tax, Dated – 03-04-2020
The notification provides for amendments in the Central Goods and Services Tax Rules, 2017 (hereinafter referred to as “Rules”). There are two amendments brought vide this notification:-

  • Composition Scheme:-
  1. Intimation in form GST – CMP 02 to be filed by 30th Jun 2020 for FY 20-21 (Instead of 31st May).
  2. Furnishing details in Form ITC 03 by 31st Jul 2020 for 20-21 (Instead of 31st May).

  • Rule 36(4) – Restriction of availing ITC to 110% of eligible ITC as per GSTR 2A
  1. The government had waived of interest for the delay of the first 15 days from the due date and additionally reduced the rate of interest vide Notification No 31/2020 explained in the subsequent point. This might induce taxpayers facing financial crunch due to the lockdown to file delayed returns.
  2. To ensure the delay of filing returns does not impact the ITC to be claimed by the taxpayers filing returns on time, the government has relaxed applicability of Rule 36(4).
  3. For the period Feb 2020 till Aug 2020, claiming restriction shall apply on a cumulative along with Sept 2020.

Notifications No. 31/2020 - Central Tax, Dated - 03-04-2020

Notification No. 31/2020-Central Tax, Dated – 03-04-2020

  • The government has relaxed the rate of interest applicable in case of delayed filing of returns and is tabulated below: – 

Sr. No.

Class of Registered Persons

Rate of Interest

Tax Period

Last Date for Filing 3B

1

Aggregate turnover more than 5 Crores

· Nil for 1st 15       days

· 9% thereafter

Feb’20 to Apr’20

On or before 24th Jun 2020

2

Aggregate turnover more than 1.5 Crores up to 5 Crores

NIL

Feb’20 to Mar’20

On or before 29th Jun 2020

Ap’20

On or before 30th Jun 2020

3

Aggregate turnover up to 1.5 Crores

NIL

Feb’20

On or before 30th Jun 2020

Mar’20

On or before 3rd Jul 2020

Apr’20

On or before 6th Jul 2020

Notification No. 32/2020 - Central Tax, Dated - 03-04-2020

Notification No. 32/2020-Central Tax, Dated-03-04-2020

  • The government has provided a complete waiver for late fees for taxpayers who fail to furnish the returns in form GSTR 3B by the due date but furnishes as per the below dates: –

Sr. No.

Class of Registered Persons

Tax Period

Last Date for Filing 3B

1

Aggregate turnover more than 5 Crores

Feb’20 to Apr’20

On or before 24th Jun 2020

2

Aggregate turnover more than 1.5 Crores up to 5 Crores

Feb’20 to Mar’20

On or before 29th Jun 2020

Ap’20

On or before 30th Jun 2020

3

Aggregate turnover up to 1.5 Crores

Feb’20

On or before 30th Jun 2020

Mar’20

On or before 3rd Jul 2020

Apr’20

On or before 6th Jul 2020

Notification No. 33/2020 - Central Tax, Dated - 03-04-2020

Notification No. 33/2020-Central Tax, Dated – 03-04-2020 

  • Complete waiver of late fees for delayed filing of GSTR 1 for the month of Mar’20, Apr ’20 and May’20.
  • Return to be filed by 30th Jun’20 to avail of the above benefit.

Notification No. 34/2020 - Central Tax, Dated - 03-04-2020

Notification No. 34/2020-Central Tax, Dated – 03-04-2020

  • Furnish the statement of details of payment of self-assessed tax in FORM GST CMP-08 for the quarter January to March 2020 by 7th Jul 2020.
  • Furnish the return in FORM GSTR-4 for the financial year 2019-20 by 15th Jul 2020.

Notification No. 35/2020 - Central Tax, Dated - 03-04-2020

Notification No. 35/2020-Central Tax, Dated – 03-04-2020 –

  • E-way bill having the expiry between 20th Mar’20 till 15th Apr’20, shall be valid till 30th Apr’20.
  • The time limit for completion or compliance of any action by any person which falls during the period 20th Mar’20 till 29th Jun’20 shall be extended till 30th Jun’20.
  • These include matters in relation and incidental to proceedings, passing of orders, filing of an appeal or reply
  • However, this shall not be applicable to –
  1. Chapter IV;
  2. Sections 10(3), 25, 27, 31, 47, 50, 69, 90, 122, 129;
  3. Section 39, except sub-section (3), (4) and (5);
  4. Section 68, in so far as e-way bill is concerned; and
  5. Rules made under the provisions specified above

Notification No. 36/2020 - Central Tax, Dated - 03-04-2020

Notification No. 36/2020-Central Tax, Dated – 03-04-2020 –

  • The due date for GSTR 3B for the month of May 2020 shall be 27th June 2020 for taxpayers with a turnover of more than 5 crores.
  • Due date of GSTR 3B for the month of May 2020 for taxpayers with aggregate turnover up to five crores and principal place of business in:-

Shall be 12th July 2020.

  • Due date of GSTR 3B for the month o May 2020 for taxpayers with aggregate turnover up to five crores and principal place of business in:-

Shall be 14th July 2020. 

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