Interest in GST

[Bibhu Tripathy]

Dear experts,

I filed the returns 50 days late. I had sufficient balance in cash ledger. In the return I paid the GST on reverse charge. Should I pay the interest?

Kindly give the answer

with regards

AI Summary

Interest on Late GST Return: Payment Required Even if Funds are Available, Filing Date is Key. An individual inquired about the necessity of paying interest on a late GST return, despite having sufficient funds in the cash ledger and paying GST on reverse charge. One expert explained that interest is charged from September 1 for delayed net GST payments, and opinions vary on its application. Another expert clarified that interest is due because the tax is only considered paid upon filing the return, not when funds are available in the ledger. A third expert noted that while the department will levy interest, challenging it in court is possible, though potentially lengthy.