On Friday 12th May 2020 was held a GST Council meeting under the chairmanship of India Finance Minister Nirmala Sitharaman.
The members of the GST Council discussed issues over video conference.
The two main objectives of the meeting were to addressing the government‘s revenue position and fixing the compensation mechanism for states.
Here are some key highlights of the meeting are:
- Finance Minister Said that “No late fee will be charged on GSTR-3B returns for the small taxpayer (aggregate turnover up to ₹ 5 crore) with nil liability.
- FM Sitharaman: The late fee for non-filing of monthly sales return for others has been reduced to a maximum of ₹ 500 for July 2017 to January 2020 period.
- Late fees for non-filing of GST returns for the period between August 2017 to January 2020 could be waived off.
- FM Nirmala Sitharaman: For all those who have no tax liabilities but who have not filed their returns between July 2017 to January 2020 there will be zero late fees.
- FM: Reduced interest on late GST filing to 9% from 18% for small taxpayers.
- FM: PM Looking at correction of inverted duty structure in footwear and fertilizer sectors.
- The GST collections during April to May 2020 together with around ₹95,000 crore only and the GST revenue shortfall of states has risen from 12.3% during FY 2018-19 to 22.9% during FY 2019-20.