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interest

18 December 2018

dear advisors

if we pay tax after due date I.e. after 20th, how to calculate interest and late filing fee

And the interest should calculate after 20 the or 01 Dec 18. pls say sir.

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10 Replies

RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 18 December 2018

Interest will be calculate on 21st of the month of due date.
For Ex : Nov-18 GSTR 3B due date is 20th Dec-18. If You are not filed Your return on or before 20th Dec-18.
Then You will be pay interest from 21st and 18%p.a and late fee.

Interest applicable only on liability of GST.

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Ramesh Rao (217 Points)
Replied 18 December 2018

thank you sir, one more detail. can u say the notification of that. so that I can show to my management.

RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 18 December 2018

Please refer section 47 & 50 of CGST Act.

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Jatin (Accountant) (3479 Points)
Replied 18 December 2018

You are required to calculate interest on gross GST liability as per GST rules if you file late return

pritesh (CA Final student) (7101 Points)
Replied 18 December 2018

Raja sir interest will be calculated on gross amount or net amount??

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RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 19 December 2018

@ Mr. Pritesh.,

Interest will be calculate on balance liability (net amount)...
Ex:

Outward - 1100
(-) Inputs - 1000
= Liability - 100 payable.
In case the payable amount Rs 100 not paid on or before 20th then we will pay Interest @ 18%p.a

Like

100 x 18% / 365 x No of delayed Days.

I think it's help you...!

1 Like

S ELAVARASI (ACCOUNTANT) (2975 Points)
Replied 19 December 2018

Originally posted by : RAJA P M
	@ Mr. Pritesh., Interest will be calculate on balance liability (net amount)...Ex:Outward - 1100(-) Inputs - 1000= Liability - 100 payable.In case the payable amount Rs 100 not paid on or before 20th then we will pay Interest @ 18%p.aLike 100 x 18% / 365 x No of delayed Days.I think it's help you...!