Interest u/s 50 shall be levied on the GST liability paid thru Cash

Notification No. 63/2020-Central Tax dated 25.08.2020 has been published by CBIC to give effect to Section 100 of the Finance (No. 2) Act, 2019 (23 of 2019) dated 01.08.2019 which provides as below,

In section 50 of the Central Goods and Services Tax Act, in sub-section (1), the following proviso shall be inserted, namely:–– “Provided that the interest on tax payable in respect of supplies made during a tax period and declared in the return for the said period furnished after the due date in accordance with the provisions of section 39, except where such return is furnished after commencement of any proceedings under section 73 or section 74 in respect of the said period, shall be levied on that portion of the tax that is paid by debiting the electronic cash ledger.”

The above provision is coming into effect from 01.09.2020.

Click here for.- Notification No. 63/2020-Central Tax dated 25.08.2020.

Click here for The Finance (No.2) Act, 2019 (No.23 of 2019) dated 01.08.2019.