Interest on GST

[Shyam Naik]

Tax deposited before due date. Return is files late.

Common Portal does not permit payment of tax from credit ledger or cash ledger. Its an automated process at the time of filing return.

Whether interest liability arises?

AI Summary

Interest on GST Arises if Return Filed Late Despite Early Deposit; Section 50 Applies. Debate on Late Fees Waiver. A discussion forum addresses whether interest liability arises when GST is deposited before the due date, but the return is filed late. One participant clarifies that tax must be credited to the government account, and both interest for late payment and a late fee for filing must be paid before the portal allows return filing. Another explains that tax is considered paid upon return filing, hence interest accrues under Section 50. A third contributor suggests that since the cash ledger is deemed a taxpayer's account, the government should consider tax paid upon deposit and waive late fees if offsetting is delayed.