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Interest Calculation

Jatin (Accountant) (3479 Points)

29 September 2018

We have filed GST return for the month of August, 2018 on 28.09.18, with interest payment for 8 days.

My question is if my total GST liability Rs. 200000 after avail of ITC of Rs. 100000. Which amount taken for interest calculation 300000 or 200000

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6 Replies

madan mohan (Accounts) (140 Points)
Replied 29 September 2018

you are liable to pay late fees rs 50 per day (other then nil return)

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Jatin (Accountant) (3479 Points)
Replied 29 September 2018

My question is related to interest calculation

CA Sunil Kumar (Chartered Accountant) (4524 Points)
Replied 29 September 2018

Interest at the rate of 18 per per annum will be applicable on GST liability of Rs. 200000/-

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Vinod Babu (24191 Points)
Replied 29 September 2018

Yes, interest @ 18% p.a applicable on liability of Rs 200000.

Jatin (Accountant) (3479 Points)
Replied 29 September 2018

Thank you very much for Mr. Sunil & Vinod Ji,

But Sir, some experts advise to calculate Interest on Rs. 300000 before ITC adjustment as per section 50 of CGST Act

I not understand section 50 of CGST Act