Government Extends Date For Filing GST Returns If Taxes Paid By August 20
Relief for GST filers as government gives taxpayers another week to file returns.
The government on Thursday provided some relief to taxpayers availing of transitional input tax credit under the Goods and Services Tax regime by giving them an extra week till August 28 to file tax returns.
Taxpayers who wish to avail transitional credit of service tax, excise and VAT paid, will have to self-compute their tax liability and pay it by August 20, the finance ministry said in a statement on Thursday. However, these taxpayers – after they have paid taxes – will get time till August 28 to file GSTR-3B and TRANS 1 returns, the statement added.
If there is a shortfall in the amount of self-computed tax, the taxpayer will have to pay an 18 percent interest from August 21 till the date of payment of taxes.
GSTR-3B is a summarised return of inward and outward supplies that businesses have to pay, while TRANS 1 relates to credit of taxes carried forward in returns in pre-GST regime.
Those taxpayers that do not claim any transitional input tax credit will have to necessarily pay tax and file returns before the due date of August 20, the finance ministry statement said. However, these taxpayers will have time till September 28 to avail the credit, Sumit Lunker, partner-indirect tax at PwC told BloombergQuint.
“This will be a working capital benefit for taxpayers as they will not have to pay taxes in cash and can use transition credit to pay their tax liability,” Lunker said.
