GST Appeals and Penalty for Late Filing of GST Return


GST Law has brought some strict policies and rules to prevent tax corruption and evasion against offenders with prosecution, arrest, and penalties.

GST Penalties and Offenses

A total of 21 offenses have been covered under the GST penalty. Listed here are a few of them –

  • Not getting GST registration, even though it is legally required.
  • Supply of services and goods without invoice or with fake invoice
  • The taxable person issuing invoices with GSTIN of other taxpayers
  • Submitting fake documents/financial records or files or fake returns for tax evasion
  • Submitting fake information for GST registration
  • Getting refunds illegally
  • Not having eligibility but still opting for composition scheme
  • Suppression of sales deliberately to evade tax

GST Appeals

A person who is not satisfied with any order or decision passed under GST which is against him can appeal against the same. The first appeal goes to the First Appellate Authority against the order passed by the adjudicating body.

If a taxpayer is not satisfied with the First Appellate Authority’s decision, they can go to National Appellate Tribunal, and then appeal to the High Court and Supreme Court at the end.

To avoid stressful appeal and litigation process, a taxpayer may claim advance ruling. The authority gives advance ruling in writing to the applicant.

Arrest under GST

If SGST/CGST Commissioner finds a person guilty of some offense, an authorized SGST/CGST officer may arrest them under GST. The authorities need to inform the arrested person about the grounds of arrest. Within 24 hours, he will appear in court before the magistrate for the cognizable offense (where police have the right to arrest someone without a warrant. These are most serious crimes like counterfeiting, robbery, murder, etc.)

GST Penalty

A penalty under GST should be paid if any offense has been committed. The rules these offenses and penalties under GST based on are clearly defined by law. 

Late Filing

GST late fees are the penalty for late filing of GST return 3b. On per Act basis, Rs. 100 is charged per day as of late fee. It is for Rs. 100 under SGST and Rs. 100 under CGST. Hence, a total of Rs. 200 will be charged. The maximum late fee is 5000 INR. In the delayed filing, no late fee is charged on IGST. 

The interest of 18% p.a. is charged along with the late fees. It should be calculated on tax to be paid by the taxpayer. The time period starts from the next day of filing to the GST payment date.

For not filing GST return

You cannot file the subsequent returns if you don’t file GST return. Late filing is going to have a cascading impact and it can cause heavy penalties and fines. 


Please enter your comment!
Please enter your name here