When it comes to compliance under the Goods and Services Tax (GST) regime, timely filing of returns plays a critical role. One of the frequent queries from taxpayers and practitioners alike concerns the quantum of late filing fees levied during GST audits. Below is a comprehensive breakdown based on recent discussions and statutory provisions.
Late Filing Fees in GST Audit
The late filing fee in the context of audit findings, especially for returns like GSTR-9 (Annual Return), is typically ₹50 per day (₹25 CGST + ₹25 SGST), subject to a maximum cap (usually 0.25% of turnover in the State/UT). This is consistent with the late fee for other returns like GSTR-3B.
HSN Code Disclosure in GSTR-1 Filing (April 2025 Onwards):
The below image provides a snapshot of current HSN requirements for GSTR-1 as per turnover and type of sales:
Summary of HSN Code Requirements
| Nature | Turnover ≤ ₹5 Cr | Turnover > ₹5 Cr |
| B2B Sales | 4 digits (mandatory) | 6 digits (mandatory) |
| B2C Sales | 4 digits (optional) | 6 digits (mandatory) |
However, questions have arisen on whether HSN disclosure will become mandatory for B2C transactions below ₹5 crore from April 2025 onwards.
As per the GST portal and existing rules, the requirement for B2C transactions below ₹5 crore remains optional for HSN codes, unless notified otherwise in a future update. While the portal may not currently reflect separate fields for this, taxpayers should monitor CBIC notifications closely for any change.
