Clarification in respect of various measures announced by the Government for providing relief to the taxpayers in view of spread of Novel Corona Virus (COVID-19) – Reg

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Circular No.: 136/06/2020-GST
Date of Circular: 3rd April 2020
Relevant Sections and Rules:

  • CGST Act, 2017:
    • Sections 10, 29, 37, 39, 47, 51, 52, 128, 168A
  • CGST Rules, 2017:
    • Rule 36(4), Rule 138
  • Notifications Cited:
    • Notification Nos. 30 to 35/2020–Central Tax dated 03.04.2020

Summary of Circular:

This circular provides clarifications on various COVID-19 relief measures announced by the Government under the CGST Act to assist taxpayers in managing compliance during the pandemic lockdown.

  1. Relief for Composition Taxpayers:
  • Statement in FORM CMP-08 for Jan–Mar 2020 due by 07.07.2020.
  • GSTR-4 for FY 2019–20 due by 15.07.2020.
  • Option to opt-in for composition for FY 2020–21 via FORM CMP-02 allowed till 30.06.2020, and ITC-03 till 31.07.2020.
  1. GSTR-3B Filing:
  • No extension of due dates, but:
    • Interest waived for 15 days, and then @9% for delayed GSTR-3B filings (Feb–Apr 2020) for taxpayers with turnover > ₹5 Cr, if filed by 24.06.2020.
    • NIL interest for taxpayers with turnover ≤ ₹5 Cr if filed by notified dates.
    • Late fees waived if filed within notified timelines.
  1. Calculation of Interest:
  • Interest examples given illustrating:
    • Zero interest for first 15 days
    • 9% per annum thereafter till 24.06.2020
    • 18% thereafter with penalty and late fee if filed after that
  1. GSTR-1 Late Fee Waiver:
  • Late fee waived for GSTR-1 filings (monthly: Mar–May 2020, quarterly: Q4 FY 2019–20) if filed by 30.06.2020.
  1. Rule 36(4) ITC Restriction Deferred:
  • ITC restriction under Rule 36(4) not applicable for returns filed for Feb–Aug 2020.
  • Cumulative adjustment to be made in Sept 2020 GSTR-3B.
  1. E-Way Bill Validity Extension:
  • E-way bills expiring between 20.03.2020 and 15.04.2020 will remain valid till 30.04.2020.
  1. Returns for TDS, ISD, and NRTP:
  • Due dates for returns for TDS (Sec 51), Input Service Distributors, and Non-resident Taxable Persons extended till 30.06.2020 for Mar–May 2020.
  1. Returns for TCS (Section 52):
  • Due date for e-commerce operators collecting TCS under Section 52 for Mar–May 2020 also extended till 30.06.2020.
  1. Extended Time Limits for Compliance:
  • All time limits for compliances falling between 20.03.2020 to 29.06.2020 are extended till 30.06.2020 (except those under exclusion clause).

Source: Circular No.: 136/06/2020-GST

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