Quick Answer: GST interest on late payment is charged at 18% per annum on the unpaid tax amount, calculated from the due date to the date of payment. Late filing fee for GSTR-3B is ₹50/day (₹25 CGST + ₹25 SGST) for returns with tax liability, and ₹20/day (₹10 + ₹10) for nil returns, subject to a maximum of ₹10,000.
GST Late Fee and Interest — Complete Guide
Every GST-registered taxpayer must file returns by the due dates. Delayed filing attracts both a late fee (a fixed penalty per day) and interest (on outstanding tax for GSTR-3B). The combined amount can grow significantly over time.
Late Fee Structure
| Return | Late Fee/Day | Maximum | Nil Return |
|---|---|---|---|
| GSTR-1 | ₹50/day (₹25 CGST + ₹25 SGST) | ₹5,000 | ₹20/day (max ₹500) |
| GSTR-3B | ₹50/day (₹25 CGST + ₹25 SGST) | ₹5,000 | ₹20/day (max ₹500) |
| GSTR-9 | ₹200/day | 0.25% of turnover | — |
Frequently Asked Questions
No. Interest applies only to GSTR-3B (the return with tax payment). GSTR-1 attracts only a late fee. However, late GSTR-1 may block your buyer's ITC, which is an indirect cost.
The government periodically announces amnesty schemes to waive or reduce accumulated GST late fees. You can also check the GSTN portal for any active waiver notifications. The base late fee structure otherwise applies as per the GST Act.