Non payment of GST penalty.

[Satyen Rohit]

Hello Sir,

What happens if I don't pay penalty on late filing of gst as I have no income and my business is shut down?

[KASTURI SETHI]

Registration certificate is cancelled only after the realization of all Govt. dues. Penalty also falls in the category of 'Govt. dues'. The department has so many legal ways and means to recover the dues. That is why bank account details are obtained while applying for registration.

[Ganeshan Kalyani]

If the GSTIN is active then filing of GST returns becomes compulsory. It does not matter if the return is a NIL return. Was there any specific reason for not filing the returns?

[KASTURI SETHI]

Return has to be filed even if there is no transaction. NIL return has to be filed by due date.

AI Summary

GST filing obligation requires nil returns and outstanding penalties remain recoverable as government dues affecting registration. Non-payment of GST penalty is treated as government dues subject to departmental recovery measures and registration cancellation follows only after realization of all dues; an active GSTIN requires filing of returns including nil returns by the due date.