Important Keyword: GSTR-1 waiver 2019-20, Notification 12/2020 Central Tax, CMP-08 exemption, GSTR-3B composition scheme, GST return filing 2020, Finodha GST compliance, special composition scheme, notification 2/2019 CT Rate,
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[F.No.20/06/03/2020-GST]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
New Delhi, the 21st March, 2020
Notification No. 12/2020 – Central Tax: Seeks to waive off the requirement for furnishing FORM GSTR-1 for 2019-20 for taxpayers who could not opt for availing the option of special composition scheme under notification No. 2/2019-Central Tax (Rate).
GST: [To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
G.S.R......(E).— In exercise of the powers conferred by section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council,
Hereby makes the following amendment in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 21/2019- Central Tax, dated the 23rd April, 2019, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 322(E), dated the 23rd April, 2019, namely:–
In the said notification, in paragraph 2, the following proviso shall be inserted, namely: – “Provided that the said persons who have, instead of furnishing the statement containing the details of payment of self-assessed tax in FORM GST CMP-08 have furnished a return in FORM GSTR-3B under the Central Goods and Services Tax Rules, 2017 (hereinafter referred to as the said rules) for the tax periods in the financial year 2019-20,
such taxpayers shall not be required to furnish the statement in outward supply of goods or services or both in FORM GSTR- 1 of the said rules or the statement containing the details of payment of self-assessed tax in FORM GST CMP-08 for all the tax periods in the financial year 2019-20.”
(Pramod Kumar)
Director,
Government of India
Note: The principal notification number 21/2019 – Central Tax, dated the 23rd April, 2019, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R.322(E), dated the 23rd April, 2019.
📚 Frequently Asked Questions (FAQs): Notification No. 12/2020 – Central Tax
Q1: What exactly is Notification No. 12/2020 – Central Tax?
Answer:
This notification clarifies that taxpayers who filed GSTR-3B instead of CMP-08 in FY 2019-20 (though they were eligible for the special composition scheme under Notification 2/2019) do not need to file GSTR-1 or CMP-08 for that year.
This simplifies compliance and avoids duplication of returns. notfctn-12-central-tax-english-…
Q2: Who benefits from this notification?
Answer:
Taxpayers who fall under the Service Providers Composition Scheme (6% tax rate) under Notification 2/2019 – CT (Rate) but:
Missed filing CMP-08,
Filed GSTR-3B instead,
are automatically exempted from filing GSTR-1 as well.
For help determining eligibility, consult Finodha GST experts:
👉 https://finodha.in/gst-compliance/
Q3: What is the Special Composition Scheme under Notification 2/2019?
Answer:
This scheme allows eligible service providers to pay 6% GST (3% CGST + 3% SGST) instead of regular GST rates, with simplified compliance.
However, it required filing CMP-02 → CMP-08 → GSTR-4.
If a taxpayer mistakenly filed GSTR-3B, this notification removes the burden of filing GSTR-1 & CMP-08 again.
Q4: Does the waiver apply automatically, or do I need to apply?
Answer:
It applies automatically.
No application or approval is required.
Q5: Does this mean GSTR-1 is permanently waived?
Answer:
❌ No.
It is waived only for FY 2019-20, and only for the taxpayers covered under this notification.
For future periods, you must stay compliant.
Finodha can assist with periodic returns:
👉 https://finodha.in/gst-return-filing/
Q6: I filed GSTR-3B for only a few months. Am I still eligible for the waiver?
Answer:
If any GSTR-3B was filed during FY 2019-20 instead of CMP-08, then for those tax periods, GSTR-1 and CMP-08 need not be filed.
Q7: Is late fee applicable for non-filing of GSTR-1 in this case?
Answer:
No.
Since GSTR-1 is not required, late fee does not apply for FY 2019-20.
Q8: Do I still need to file GSTR-4 (Annual Return for Composition)?
Answer:
Yes.
All taxpayers under composition (including those who mistakenly filed GSTR-3B) must file GSTR-4 (Annual).
Finodha can help file GSTR-4 correctly:
👉 https://finodha.in/gst-return-filing/
Q9: What happens if I filed both GSTR-3B and CMP-08?
Answer:
If you filed CMP-08, then the waiver does not apply, because CMP-08 is the correct form for special composition scheme.
Q10: How does this notification link to Section 148 of the CGST Act?
Answer:
Section 148 empowers the government to notify special procedures for certain classes of taxpayers.
Using these powers, the government created an exception for taxpayers who unintentionally complied using GSTR-3B.
Q11: What if I opted for composition scheme late?
Answer:
Even late applicants who filed GSTR-3B instead of CMP-08 are covered—provided they were eligible for 2/2019 scheme.
Q12: Does this notification affect ITC availability?
Answer:
If you were under the special composition scheme, ITC is not allowed, regardless of whether GSTR-3B or CMP-08 was filed.
Q13: What if I transitioned to normal scheme mid-year?
Answer:
Waiver applies only for the period you were eligible under Notification 2/2019.
Example:
If scheme applied Apr–Sep 2019 → waiver only for those months.
Q14: Do I need to amend past returns after this notification?
Answer:
❌ No amendments are required.
The waiver automatically removes the need for filing GSTR-1 or CMP-08.
Q15: Can I still opt for special composition scheme next year?
Answer:
Yes, if you continue to meet eligibility criteria.
For registration and change support, visit:
👉 https://finodha.in/online-gst-registration/
Conclusion
Notification No. 12/2020 – Central Tax is a major relief for taxpayers who unintentionally followed regular filing procedures instead of composition filings. It avoids double reporting (GSTR-3B + GSTR-1) and saves unnecessary penalties.
If you want error-free GST compliance, Finodha makes it easy:
👉 Start GST Filing with Finodha:
https://finodha.in/gst-return-filing/
Download PDF: Notification No. 12/2020 – Central Tax
More Information: https://taxinformation.cbic.gov.in/
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