Synopsis of Notifications issued basis of the decisions taken in 43rd GST Council Meeting

Notification No. 16/2021 – Central Tax dated 1st June 2021

Interest on delayed payment of taxes is to be paid on the net liability, i.e., the amount debited in the cash ledger. This is a retrospective amendment.

Notification No. 17/2021 – Central Tax dated 1st June 2021

The due date for filing GSTR – 1 for the month of May 2021 has to be filed by 26th June 2021.

Notification No. 18/2021 – Central Tax dated 1st June 2021

Relaxation is given for the payment of interest for the delay in payment of taxes on account of the lockdowns. The notification is a retrospective one and effective from 18th May 2021.

Sr. NoDetails/ParticularsRate of InterestMonths
1Taxpayers having turnover above ₹ 5 crores during the previous financial yearReduced rate at 9% for the first 15 days and 18% if the delay is more than 15 days.March – 21 April – 21 May – 21  
2Taxpayers having a turnover of less than ₹ 5 crores and paying taxes on a monthly basis1st day to 15th day   – 0% 16th day to 60th day – 9% 61st day onwards    – 18%   1st day to 15th day   – 0% 16th day to 45th day – 9% 46th day onwards   – 18%   1st day to 15th day   – 0% 16th day to 30th day – 9% 31st day onwards   – 18%  March – 21       April – 21       May – 21  
3Taxpayers having a turnover of less than ₹ 5 crores and paying taxes on a monthly basis1st day to 15th day   – 0% 16th day to 60th day – 9% 61st day onwards    – 18%   1st day to 15th day   – 0% 16th day to 45th day – 9% 46th day onwards   – 18%   1st day to 15th day   – 0% 16th day to 30th day – 9% 31st day onwards   – 18%  March – 21       April – 21       May – 21  
4Taxpayers who have opted for QRMP Scheme1st day to 15th day   – 0% 16th day to 60th day – 9% 61st day onwards    – 18%  Jan-March 21 Quarter

Notification No. 19/2021 – Central Tax dated 1st June 2021

The late fee for GSTR – 3B has been reduced to taxpayers filing returns due to delays caused by the prevailing lockdowns and encouraging other taxpayers who have not filed returns from July 2017 to April 2021 with riders.

Late relaxation for the current financial year

Sr. NoDetails/ParticularsLate fee waived off  Months
1Taxpayers having turnover above ₹ 5 crores during the previous financial yearIf filed within 15 days of the due dateMarch – 21 April – 21 May – 21  
2Taxpayers having a turnover of less than ₹ 5 crores and paying taxes quarterlyIf filed within 60 days of the due date   If filed within 45 days of the due date   If filed within 45 days of the due dateMarch – 21     April – 21     May – 21  
3Taxpayers having a turnover of less than ₹ 5 crores and paying taxes on a quarterly basisIf filed within 60 days of the due date  Jan-March 21 Quarter

Late relaxation for the previous periods

 Sr. NoReturn Filing PeriodCondition – 1Condition – 1Late Fee to be paid per month max
1July 2017 to April 2021NilFiled between 1st June 21 & 31st August₹ 250*
2July 2017 to April 2021If Tax liability is thereFiled between 1st June 21 & 31st August₹ 500*

*SGST * UT GST Amounts will be in addition to this amount, as this notification is only for the CGST.

Late relaxation for the future periods

The late fee waiver is provided for the future also starting from June 2021 due to the prevailing pandemic and lockdowns

Sr. NoDetails/ParticularsLate Fee Maximum to be paid
1Nil Tax liability   ₹ 250*
2Taxpayers having turnover up to ₹ 1.50 crores ₹ 1,000*
3Taxpayers having turnover above ₹ 1.50 crores ₹ 2,500*

*SGST * UT GST Amounts will be in addition to this amount, as this notification is only for the CGST.

Notification No. 20/2021 – Central Tax dated 1st June 2021

Relaxation has been provided for the delayed filing of GSTR – 1 for small taxpayers from June 2021 onwards. This applies to the taxpayers who are filing GSTR – 1 on a quarterly basis also.

Sr. NoDetails/ParticularsLate Fee Maximum to be paid
1Nil Tax liability   ₹ 250*
2Taxpayers having turnover up to ₹ 1.50 crores ₹ 1,000*
3Taxpayers having turnover above ₹ 1.50 crores and below ₹ 5.00 crores  ₹ 2,500*

*SGST * UT GST Amounts will be in addition to this amount, as this notification is only for the CGST.

Notification No. 21/2021 – Central Tax dated 1st June 2021

Relaxation in late fees is also provided for taxpayers registered under the composition scheme.

Sr. NoDetails/ParticularsLate Fee Maximum to be paid
1Nil Tax liability   ₹ 250*
2Having tax liability to be discharged ₹ 1,000*

*SGST * UT GST Amounts will be in addition to this amount, as this notification is only for the CGST.

Notification No. 22/2021 – Central Tax dated 1st June 2021

Late fee relaxation has been provided to taxpayers registered as Tax Deductors and required to file GSTR – 7. The late has been capped at ₹ 1,000 per month for delay in return filing from June 2021 onwards.

Notification No. 23/2021 – Central Tax dated 1st June 2021

Relaxation is also provided for taxpayers falling under the category as Government Departments and Local bodies from issuing e-invoices.

Notification No. 24/2021 – Central Tax dated 1st June 2021

The time limits for the completion of compliance or any action by the tax authorities or any person which are falling between 15th April 2021 to 29th June 2021 has been extended in the following cases to 30th June 2021

 a) completion of any proceeding or passing of any order or issuance of any notice, intimation, notification, sanction or approval or such other action, by whatever name called; or

b) filing any appeal, reply, or application or furnishing any report, document, return, statement, or other records, by whatever name is called.

The above extension is not applicable in the following cases

  1. Related to Time of Supply
  2. If the turnover of the composition taxpayer has crossed the threshold during this period
  3. Section 25 – registration procedure
  4. Section 27 – procedure-related to casual taxable person and the non-resident taxable person
  5. Section 31 – Tax Invoice
  6. Section 37 – provisions related to the filing of returns for outward supplies
  7. Section 47 – provisions related to levy of late fee
  8. Section 50 – provisions related to ley of interest
  9. Section 69 – provisions related to power to arrest errant taxpayers
  10. Section 90 – provisions related to Liability of partners of firm to pay tax
  11. Section 122 – provisions related to penalties for certain offenses
  12. Section 129 – provisions related to detention, seizure and release of goods and conveyance under transit
  13. Section 39 – except for provisions related to sub-section (3), (4) and (5) related to TDS deductors, ISD and not resident taxpayers
  14. Section 68 – provisions related to e-waybill

The time limit for completion of any action by any authority or by any person as per Rule 9 of the CGST Rules related to verification and approval of registration application, falling during the period from 1st May, 2021 to 30th June 2021, shall be extended to 15th  July 2021

Notification No. 25/2021 – Central Tax dated 1st June 2021

The due date for filing of Form GSTR – 4 by composition taxpayer for the year April 2020 to March 2021 has been extended from 31st May 2021 to 31st July 2021.

Notification No. 26/2021 – Central Tax dated 1st June 2021

The due date for furnishing the declaration in FORM GST ITC-04, in respect of goods dispatched to a job worker or received from a job worker, during the period from 1st January 2021 to 31st March 2021, has been extended from 31st May 2021 to 30th June 2021.

This notification is a retrospective one and comes applicable from 31st May 2021.

Notification No. 27/2021 – Central Tax dated 1st June 2021

Taxpayers registered as a company under various provisions of the Companies Act 2013 can file returns using the Electronic Verification Code (EVC) until 31st August 2021.

Due to the ongoing pandemic and disruptions in business on account of lockdowns, relaxation has been provided while availing Input Tax Credit. Matching needs to be done on a monthly basis for the months of April 21, May 21 and June 21. It can be done cumulatively while flinging the GSTR – 3B for the month of June 2021.

Taxpayers who have opted for the Quarterly Returns and Monthly Payment (QRMP) have also been provided some relaxation for filing of Invoice Furnishing Facility (IFF) for the month of May 2021, and now it can be filed by 28th June 2021.

Notification No.1/2021 – Central Tax (Rates) dated 2nd June 2021

Sr. NoHSN CodeNew RateOld Rate
19503 – Toys like tricycles, scooters, pedal cars etc. (including parts and accessories thereof) [other than electronic toys]   9503 – Toys like tricycles, scooters, pedal cars etc. (including parts and accessories thereof) [other than electronic toys]   9503 – Electronic Toys like tricycles, scooters, pedal cars etc. (including parts and accessories thereof)2.5%         2.5%       2.5%  6%         6%       9%
2Diethylcarbamazine2.5%6%

Notification No.2/2021 – Central Tax (Rates) dated 2nd June 2021

Sr. NoHSN CodeNew RateOld Rate
1“(ib) Maintenance, repair or overhaul services in respect of ships and other vessels, their engines and other components or parts.2.5%9%

Another major benefit is provided is for the landowners; now with this amendment, the landowners can utilize the input tax credit charged by the developer on the sale of apartments if sold before the issue of the occupation certificate.

Notification No.3/2021 – Central Tax (Rates) dated 2nd June 2021

The time of payment of GST by the landowner promoter shall be allowed to pay GST relating to such apartments any time before or at the time of issuance of completion certificate.

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