Clarification on Late Fee for GSTR-9 & GSTR-9C Filing – Notification No. 08/2025 & Circular No. 246/03/2025

R. Muthukumaran – [2025] 170 taxmann.com 864 (Article)

1. Introduction

Under GST, businesses are required to file GSTR-9 (Annual Return) and, where applicable, GSTR-9C (Reconciliation Statement). Late filing of these returns attracts penalties under Section 47 of the CGST Act, 2017. To provide relief, the Government issued Notification No. 08/2025-Central Tax, dated 23rd January 2025, waiving excess late fees for delayed GSTR-9C filing for financial years up to FY 2022-23, provided it is filed by 31st March 2025.

However, Circular No. 246/03/2025-GST, issued on 30th January 2025, clarified the scope of this waiver, particularly regarding whether late fees for GSTR-9 itself are covered. This article provides a comprehensive understanding of the notification, its clarifications, and practical examples to illustrate its impact.

Key Provisions of Notification No. 08/2025 & Clarifications in Circular No. 246/03/2025

1. What relief does Notification No. 08/2025 provide?

• Late fee waiver for delayed GSTR-9C filing if filed on or before 31st March 2025.
• Waiver applies only to late fees incurred after GSTR-9 was filed.
• No waiver for late filing of GSTR-9 itself.

2. What did Circular No. 246/03/2025 clarify?

• If GSTR-9C is required and delayed, the annual return is considered incomplete.
• Late fees continue to apply until both GSTR-9 and GSTR-9C are filed.
• Notification No. 08/2025 waives late fees for GSTR-9C (but not GSTR-9).
• No refund of late fees already paid.

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