In its official statement, the Ministry of Finance announced a reduction in the rate of interest. For registered persons having aggregate turnover above Rs 5 crore, a 9% interest rate, instead of the usual 18%, will be levied “for the first 15 days from the due date of payment of tax and 18 per cent thereafter for tax periods March 2021 and April 2021, payable in April 2021 and May 2021.”
For registered persons having aggregate turnover up to Rs 5 crore, a 0% interest rate will be levied for the first 15 days from the due date of payment of tax. The ministry will charge a 9% rate for the next 15 days, and 18% thereafter. The deadlines are the same for both normal taxpayers and those under QRMP scheme for similar GST payment deadlines.
The ministry has also announced a waiver of the late fee for 15 days beyond the due date for registered persons having aggregate turnover above Rs 5 crore. For registered persons having aggregate turnover up to Rs 5 crore, there’s no late fee for 30 days after the due date.
Moreover, the ministry has announced the extension of due date of filing GSTR-1, IFF, GSTR-4, and ITC-04. Last date for filing FORM GSTR-1 and IFF for the month of April has been extended by 15 days. Taxpayers and business can file FORM GSTR-4 and FORM ITC-04 for FY 2020-21 until 31st May, 2021 now.