Notification No. 68/2020 – Central Tax Explained

Answer:
It’s a CBIC notification that offers a waiver and reduction of late fees for taxpayers who failed to furnish Form GSTR-10 (Final Return) after cancellation of GST registration.
The relief was applicable for filings done between 22nd September 2020 and 31st December 2020.

Answer:
Form GSTR-10 is a Final Return required under Section 45 of the CGST Act, 2017.
It must be filed by registered taxpayers whose GST registration has been canceled or surrendered, to ensure all pending liabilities are cleared.
📘 Example:
If a trader voluntarily cancels their GST registration on 1st July 2020, they must file GSTR-10 within three months of cancellation (i.e., by 30th September 2020).
Need help? Start filing now with Finodha GST Return Filing.

Answer:
Many taxpayers missed filing GSTR-10 due to lack of awareness or confusion regarding post-cancellation compliance.
To encourage voluntary compliance and clear backlog, the government provided a limited-period late fee waiver.

Answer:
As per Section 47, failure to file GSTR-10 on time attracts:
₹100 per day under CGST + ₹100 per day under SGST (total ₹200 per day),
Subject to a maximum of ₹10,000 per return.
However, this notification reduced or waived that amount for eligible filers.

Answer:
If GSTR-10 was filed during the notified period (22.09.2020 – 31.12.2020), the late fee was capped at ₹500 per return (₹250 CGST + ₹250 SGST), instead of ₹10,000.
This significantly reduced compliance costs for small taxpayers.

Answer:
A corrigendum dated 22nd September 2020 (G.S.R. 573(E)) corrected a typographical error in the original notification:
At page 4, line 30, the term “22th” was replaced with “22nd.”
This ensured legal accuracy and consistency in the date format.
📘 Reference: Corrigendum No. F. No. CBEC-20/06/08/2019-GST, signed by Shri Pramod Kumar, Director, CBIC.

Answer:
Section 45 mandates filing of Final Return (GSTR-10) after cancellation of registration.
Section 47 prescribes late fees for delayed filing.
Thus, this notification modifies the late fee aspect of Section 47, offering relief for Section 45 compliance.

Answer:
If a taxpayer still failed to file GSTR-10 by 31st December 2020:
❌ The normal late fee provisions apply.
❌ They may also receive notices under Section 46 for non-filing.
To avoid penalties, ensure timely compliance with Finodha GST Services.

Answer:
Filing GSTR-10 ensures:
✅ All pending liabilities are discharged before deregistration.
✅ Legal closure of GST registration.
✅ Avoidance of penalties, notices, and departmental inquiries.

Answer:
The taxpayer may receive a notice under Section 46, directing them to file GSTR-10 within 15 days.
Failure to comply can result in assessment of tax dues by the proper officer under Section 62.

Answer:
Micro, small, and medium enterprises (MSMEs) that had canceled registrations due to business shutdowns during the COVID-19 lockdown period benefited the most.
💼 If your GST number was canceled, file your pending returns with expert support at Finodha GST Compliance.

Answer:
Yes ✅, the GST portal automatically applied the reduced late fee limit when the taxpayer filed GSTR-10 within the specified period.
No manual application or separate request was required.

Answer:
By offering a one-time reduction in penalties, it motivated taxpayers to:
File pending returns,
Avoid legal proceedings, and
Regularize their compliance history with GSTN.

Answer:
🔹 GST Return Filing – For filing GSTR-10 or GSTR-9.
🔹 GST Compliance – To stay compliant with all due dates.
🔹 GST Registration – For new or re-registrations.
🔹 Setup Business – Start or re-register your business under GST.
Ensure your compliance is on track — consult Finodha GST Experts today!