GST penalties are predictable — which means they're avoidable. Here's exactly what each mistake costs, so you know what's at stake.
Late filing fees
- GSTR-3B / GSTR-1 filed late — ₹50 per day (₹25 CGST + ₹25 SGST), capped based on turnover.
- Nil returns filed late — ₹20 per day (₹10 + ₹10).
- Annual return (GSTR-9) late — ₹200 per day, up to 0.5% of turnover.
Interest on late payment
18% per annum on unpaid tax, calculated day-by-day from the due date until payment. If you claimed excess ITC or under-reported liability, the interest on the reversed amount is 24% per annum. Interest applies even if the delay was one day.
Penalties beyond late fees
- Not registering when required — 10% of tax due, minimum ₹10,000 (100% if deliberate evasion).
- Invoice without required IRN (e-invoice cases) — ₹10,000 per invoice or 100% of tax, whichever is higher.
- Incorrect invoicing — ₹25,000.
- Transporting goods without an e-way bill — 100% of the tax payable, plus possible detention.
- Not passing on rate-cut benefits (anti-profiteering) — as determined, plus interest.
The cheapest compliance strategy
File on time even when cash is tight — the late fee plus interest compounds faster than most business loans. If you can't pay the full tax, filing the return and paying partially still stops the late fee clock on filing.
Never miss a deadline again
BizGST Pro emails you before the 11th (GSTR-1) and 20th (GSTR-3B) every month, with your filing-ready summary attached to the reminder. Set it up once, stop paying late fees forever.