GST late fees and interest, explained
Short answer
If you file a GST return after the due date, you pay a late fee of ₹50 per day (₹20 per day for nil returns), split equally between CGST and SGST, plus 18% annual interest on any tax paid late. Late fees are capped based on your turnover and the type of return, so they do not grow without limit.
Updated 2026-06-03 · 399Apps · General GST information, not tax advice
What is the GST late fee?
A GST late fee is a fixed per-day charge for filing a return after its due date, levied under the GST law. It is separate from interest: the late fee is a flat amount per day of delay (regardless of tax due), while interest is charged only on tax that is actually paid late. Both apply together when you miss a deadline with an outstanding liability.
Late fee rates by return type
For the common monthly/quarterly returns (GSTR-1 and GSTR-3B), the late fee is:
- • Returns with tax liability: ₹50 per day (₹25 CGST + ₹25 SGST).
- • Nil returns: ₹20 per day (₹10 CGST + ₹10 SGST).
- • Maximum (cap) for GSTR-3B/GSTR-1 is linked to turnover: ₹2,000 for nil/up to ₹1.5 crore, ₹5,000 up to ₹5 crore, and ₹10,000 above ₹5 crore (₹500 each side for nil returns).
- • GSTR-9 (annual return): ₹200 per day (₹100 + ₹100), capped at a percentage of turnover.
- • GSTR-4 (composition): ₹50 per day (₹20 for nil), capped at ₹2,000 (₹500 for nil).
Interest on late GST payment
Interest applies separately from the late fee, on the tax you pay late:
- • 18% per annum on the net tax liability paid after the due date, calculated for the number of days of delay.
- • 24% per annum where excess or ineligible input tax credit is claimed and utilised.
- • Interest is computed on the net cash liability (after ITC set-off), not the gross tax, for delayed GSTR-3B payments.
How late fee and interest are calculated: an example
Suppose your GSTR-3B for a month is due on the 20th but you file 10 days late with a net tax liability of ₹40,000. Late fee = 10 days × ₹50 = ₹500 (₹250 CGST + ₹250 SGST). Interest = ₹40,000 × 18% × 10/365 ≈ ₹197. Total extra cost ≈ ₹697 — and your buyers’ ITC and your next return are delayed too. A nil return filed 10 days late would cost only the ₹200 late fee, with no interest.
How to avoid GST late fees and interest
Track each return’s due date (GSTR-1 on the 11th/13th, GSTR-3B on the 20th/22nd/24th), keep your books reconciled to GSTR-2B so there are no last-minute surprises, file nil returns on time rather than ignoring them, and pay any cash liability before the deadline so interest does not accrue. Using software that flags due dates and pre-fills returns is the simplest safeguard.
How 399Apps helps
Nidhi Books (by 399Apps) keeps your GSTR-1 and GSTR-3B data ready ahead of each deadline, so on-time filing is a quick review instead of a month-end scramble — the cheapest way to avoid late fees and 18% interest is simply never to miss the due date.
GST late fees & interest — frequently asked questions
What is the late fee for GSTR-3B? +
How much interest is charged on late GST payment? +
Is there a late fee for nil GST returns? +
Is the GST late fee capped? +
Can GST late fee or interest be waived? +
GST billing, returns & e-invoicing — done automatically
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