GST UPDATES
Quote from GLOBAL CA on February 10, 2025, 8:29 amCBIC Issues Instruction w.r.t. Amnesty Scheme Prescribed for Penalty/Interest Waiver u/s 128A
Regarding Section 128A of the CGST Act, 2017, CBIC provides "instruction" regarding the process to be followed in department appeals filed solely against interest and/or penalties; explains that the advantage of the aforementioned section will be available when the taxpayer has paid the entire tax amount and only disputes the interest and/or penalty; notifies taxpayers that, subject to certain restrictions, they will still be able to benefit from Section 128A even if the Department is appealing or is in the process of appealing, only if the interest computation was incorrect or the penalty was not applied correctly; Recognizes that a taxpayer should not be refused the advantage of the provision on the basis of technicalities, and that the benefit should not be denied simply because the Department has filed an appeal or is in the process of doing so, emphasizing that the purpose of the section is to minimize litigation.
Source :- CBIC Instruction No. 02/2025-GST dated February 7, 2025
CBIC Issues Instruction w.r.t. Amnesty Scheme Prescribed for Penalty/Interest Waiver u/s 128A
Regarding Section 128A of the CGST Act, 2017, CBIC provides "instruction" regarding the process to be followed in department appeals filed solely against interest and/or penalties; explains that the advantage of the aforementioned section will be available when the taxpayer has paid the entire tax amount and only disputes the interest and/or penalty; notifies taxpayers that, subject to certain restrictions, they will still be able to benefit from Section 128A even if the Department is appealing or is in the process of appealing, only if the interest computation was incorrect or the penalty was not applied correctly; Recognizes that a taxpayer should not be refused the advantage of the provision on the basis of technicalities, and that the benefit should not be denied simply because the Department has filed an appeal or is in the process of doing so, emphasizing that the purpose of the section is to minimize litigation.
Source :- CBIC Instruction No. 02/2025-GST dated February 7, 2025