GST Amnesty Scheme 2024

GST Amnesty Scheme 2024

Posted by CA Pankaj Kumar Vats
In: GST Compliance
On 23 Nov 2024

Contents Covered

  • Understand GST Amnesty Scheme 2024
  • Conditions
  • Process
  • General Questions
  • Relevant Notifications
  • Conclusion

Let us understand the GST Amnesty Scheme 2024 in simple words

This scheme provides a waiver from interest and penalty and it is a great relief

  1. This scheme is effective from 1st Nov 2024
  2. And it will provide Waiver of Interest or Penalty or Both
  3. Period which is covered by the GST Amnesty Scheme is Financial Year 2017-18, 2018-19 and 2019-20 subject to certain terms and conditions

Conditions

  1. The due date for payment of the demand for availing the benefit of tax waiver of Interest and Penalty is 31 March 2025. In case of redetermination of the demand, the due date shall be six months from the date of such order.
  2. In case the Matter is pending at any stage in appeal, the appeal needs to be withdrawn before making an application for waiver of interest and penalty

Process

Tax payment needed to be made on or before 31st March 2025

In case an Assessment Order is not passed, the payment can be made via Form GST DRC 03

In case an Assessment Order is already passed, the payment shall be made only by making the debit entry created in Part II of the Electronic Liability Register (ELR)

In case the payment is already made via DRC 03 and in case the debit entry is not marked under ELR, the same needed to be adjusted by DRC 03A

Online Application in Form GST SPL 01/ Form GST SPL 02 needed to be filed at GST portal www.gst.gov.in

The application must be made within 3 months from 31.03.2025

General Questions

Q1: Whether the benefit provided U/s 128A, will be available to the tax payers, who have already paid the tax component before the date of notification

A: Yes, all payments made till 31st March 2025 towards demand will be taken in to account

Q2: Whether the amount already recovered as interest or penalty by tax officer, will be adjusted toward the tax demand for the purpose of Sec 128A.

A: No

Q3: Whether the benefit of Sec 128A is available for the part payment of demand.

A: No

Q4: Whether the payment to avail waiver under Sec 128A can be made by utilizing the ITC

A: Yes

Relevant Notifications

Notification No. 20/2024- Central Tax dated 8th Oct 2024

Notification No. 21/2024 – Central Tax dated 8th Oct 2024

Conclusion

It is the most welcome step by the Govt. and it will be a huge relief to the taxpayers because it is the initial period of GST implementation and requires such support from Govt because the most of the tax demands are on account of genuine hardship and required the waiver of interest and penalty

Any Question, feel free to connect with us

126 Views
Call Us Whatsapp