SEC 122 CGST ACT

[RAHUL GAIKWAD]

sec 122 of CGST Act is applicable .? Penalty equivalent to Tax amount.?

My clinet had paid the Tax after 4 months. Now Officer calling him to Pay Penalty. What to do.?

AI Summary

Penalty Under CGST Act: Exploring Section 122 for Late Tax Payment and Possible Penalties for Delayed Compliance. A query was raised regarding the applicability of Section 122 of the CGST Act, which involves a penalty equivalent to the tax amount for late payment. The client paid the tax after four months, prompting an officer to demand a penalty. One response questioned the clause under which the penalty was demanded. Another response explained that if mala fide intention is proven, the penalty equals the evaded tax. Interest under Section 50 is also applicable: 18% if self-paid and 24% if pointed out by the Department with mala fide intention. Sections 122(iii) and (iv) might apply due to exceeding three months.