GST Late Fee in 2026: Per-Day Rates and Caps for Every Return, Interest, Waivers and Worked Examples

A missed GST due date costs money in two ways: a late fee for every day the return is pending, and interest on any tax you paid late. Neither is huge for one month, but they stack up quickly across GSTR-1, GSTR-3B and the annual return, and since 2025 a return left long enough can't be filed at all. This guide is for small business owners and accountants who need exact figures: the late fee and cap for each return, how interest is worked out, how to pay, what the October 2026 GST Council recommendation might change, and worked ₹ examples. All rates were checked against the CGST Act, CBIC notifications and GST portal FAQs in October 2026.

Quick answer

GST late fee is ₹50 a day for GSTR-3B and GSTR-1 (₹20 a day for nil returns), capped per return between ₹500 and ₹10,000 by turnover. Separately, 18% a year interest applies to tax paid late in cash. Both must be paid from the cash ledger.

• GSTR-9: ₹50 a day to ₹200 a day, capped at 0.04% of turnover in the state–0.5% of turnover in the state of state turnover

• GSTR-10 final return: ₹200 a day (₹100 CGST + ₹100 SGST), up to ₹10,000 (₹5,000 CGST + ₹5,000 SGST)

• Returns more than 3 years past due are barred — you need officer approval to file

• No amnesty is open in October 2026; the 57th GST Council's waiver for small taxpayers awaits notification

What is GST late fee and why is it charged?

Late fee is a fixed charge under section 47 of the CGST Act for filing a return after its due date. It's not a penalty for unpaid tax — you pay it even when the return shows no tax at all — and it runs from the day after the due date until the day you actually file. The Act sets a high default of ₹100 a day under CGST (and the same under SGST), up to ₹5,000 per Act, for monthly and quarterly returns. Under section 128, the government has waived most of that by notification, which is why the amounts you actually pay are lower and capped by turnover.

Every figure in this guide is the combined CGST + SGST amount (or UTGST in a union territory). The portal shows each half separately. A ₹50-a-day fee, for example, is ₹25 CGST and ₹25 SGST.

Interest is a different thing. It's compensation for late payment of tax under section 50, so a nil return attracts late fee but no interest, while a return filed on time with tax paid late through a separate challan can attract interest but no late fee.

Late fee for every GST return in 2026

GST late fee per return (2026, CGST + SGST)

Return	Per day	Maximum per return	Basis
GSTR-3B (tax payable)	₹50 a day	₹2,000 (≤ ₹1.5 cr) · ₹5,000 (₹1.5–5 cr) · ₹10,000 (> ₹5 cr)	Notification 19/2021-CT
GSTR-3B (nil)	₹20 a day	₹500	Notification 19/2021-CT
GSTR-1 / IFF	₹50 a day (₹20 a day nil)	₹500 nil · ₹2,000 · ₹5,000 · ₹10,000	Notification 20/2021-CT
GSTR-4 (composition, annual)	₹50 a day	₹2,000 (₹500 if no tax)	Notification 21/2021-CT
GSTR-9 (≤ ₹5 cr)	₹50 a day	0.04% of turnover in the state of state turnover	Notification 07/2023-CT
GSTR-9 (₹5–20 cr)	₹100 a day	0.04% of turnover in the state of state turnover	Notification 07/2023-CT
GSTR-9 (> ₹20 cr)	₹200 a day	0.5% of turnover in the state of state turnover	Section 47(2)
GSTR-7 (TDS)	₹50 a day (₹25 CGST + ₹25 SGST)	₹2,000 (₹1,000 CGST + ₹1,000 SGST); nil GSTR-7 free	Notification 23/2024-CT
GSTR-10 (final return)	₹200 a day (₹100 CGST + ₹100 SGST)	₹10,000 (₹5,000 CGST + ₹5,000 SGST)	Section 47(1)

GSTR-3B (tax payable)

Per day

₹50 a day

Maximum per return

₹2,000 (≤ ₹1.5 cr) · ₹5,000 (₹1.5–5 cr) · ₹10,000 (> ₹5 cr)

Basis

Notification 19/2021-CT

GSTR-3B (nil)

Per day

₹20 a day

Maximum per return

₹500

Basis

Notification 19/2021-CT

GSTR-1 / IFF

Per day

₹50 a day (₹20 a day nil)

Maximum per return

₹500 nil · ₹2,000 · ₹5,000 · ₹10,000

Basis

Notification 20/2021-CT

GSTR-4 (composition, annual)

Per day

₹50 a day

Maximum per return

₹2,000 (₹500 if no tax)

Basis

Notification 21/2021-CT

GSTR-9 (≤ ₹5 cr)

Per day

₹50 a day

Maximum per return

0.04% of turnover in the state of state turnover

Basis

Notification 07/2023-CT

GSTR-9 (₹5–20 cr)

Per day

₹100 a day

Maximum per return

0.04% of turnover in the state of state turnover

Basis

Notification 07/2023-CT

GSTR-9 (> ₹20 cr)

Per day

₹200 a day

Maximum per return

0.5% of turnover in the state of state turnover

Basis

Section 47(2)

GSTR-7 (TDS)

Per day

₹50 a day (₹25 CGST + ₹25 SGST)

Maximum per return

₹2,000 (₹1,000 CGST + ₹1,000 SGST); nil GSTR-7 free

Basis

Notification 23/2024-CT

GSTR-10 (final return)

Per day

₹200 a day (₹100 CGST + ₹100 SGST)

Maximum per return

₹10,000 (₹5,000 CGST + ₹5,000 SGST)

Basis

Section 47(1)

A few points behind the table:

Turnover band. For GSTR-3B and GSTR-1, the cap depends on aggregate turnover in the preceding financial year. A business that crosses ₹1.5 crore in FY 2025-26 moves to the ₹5,000 cap from April 2026.

Nil return. A "nil" GSTR-3B means no tax payable for the period — no outward tax, no reverse-charge liability. You can still have ITC to report. A nil GSTR-1 means no outward supplies at all.

QRMP filers. Under the quarterly scheme, the late fee is charged per quarterly GSTR-3B and per quarterly GSTR-1, not per month. Paying the PMT-06 challan late in months one and two attracts interest only, not late fee.

GSTR-9 and GSTR-9C. GSTR-9 is optional for businesses with turnover up to ₹2 crore. For FY 2024-25 onwards, CBIC has clarified that the late fee keeps running until the reconciliation statement GSTR-9C is filed by those who must file it. Our GSTR-9 guide explains the forms.

GSTR-10. The final return after cancellation has no standing waiver, so the full Act rate applies: ₹200 a day (₹100 CGST + ₹100 SGST) up to ₹10,000 (₹5,000 CGST + ₹5,000 SGST). The 2023 amnesty cap for GSTR-10 has expired. See our GST registration cancellation guide for the deadlines.

Interest on late GST payment: 18% on net cash

Section 50(1) charges interest at 18% a year on tax not paid by the due date, from the day after the due date to the day you pay. Since the Finance Act 2021 (with effect from 1 July 2017), when you file a return late, interest is charged only on the portion of tax you pay by debiting the electronic cash ledger — not on the part set off against input tax credit. The exception is a return filed after proceedings under section 73, 74 or 74A have started for that period, where interest can be charged on the gross tax.

The formula is simple:

Interest = tax paid in cash × 18% × days late ÷ 365

From the January 2026 tax period, the portal computes this itself and places it in Table 5.1 of the next GSTR-3B. It also uses Rule 88B to give credit for money already sitting in your cash ledger: if the cash was in the ledger by the due date, interest isn't charged on it even though you filed late. You can increase the auto-filled interest but not reduce it. Our GSTR-3B guide shows where this appears.

A separate rate applies to input tax credit wrongly availed and utilised — interest under section 50(3), currently 18% a year. Credit that is wrongly claimed but never used (because your credit ledger balance never fell below it) doesn't attract interest.

Worked examples in ₹

Example 1 — a monthly filer in Jaipur, three weeks late. Mehta Electricals has turnover of ₹2.4 crore (the ₹1.5–5 crore band). Its GSTR-3B for August 2026 was due on 20 September; it files on 15 October, 25 days late. Net tax payable in cash after ITC is ₹80,000.

• Late fee: 25 days × ₹50 a day = ₹1,250 (₹625 CGST + ₹625 SGST), under the ₹5,000 cap
• Interest: ₹80,000 × 18% × 25 ÷ 365 = ₹986
• GSTR-1 for August, due 11 September, filed 14 October: 33 days × ₹50 a day = ₹1,650
• Total cost of the delay: ₹3,886, all payable in cash

Example 1 — cost of filing 25 days late

₹1,250

GSTR-3B late fee

25 days × ₹50

₹986

Interest on ₹80,000 cash tax

18% a year

₹1,650

GSTR-1 late fee

33 days × ₹50

Example 2 — a closed shop with four nil months. A small trader stopped trading in March but didn't cancel registration or file nil returns for April to July. Each nil GSTR-3B attracts ₹20 a day, capped at ₹500; each nil GSTR-1 the same. Filing all of them in mid-October hits the cap on every return: 4 × ₹500 + 4 × ₹500 = ₹4,000 for returns with no tax in them. Filing nil returns on time — or cancelling the registration when the business stopped — would have cost nothing.

Example 3 — GSTR-9 four months late. A Pune manufacturer with FY 2024-25 turnover of ₹3 crore (all in Maharashtra) filed GSTR-9 on 30 April 2026 instead of 31 December 2025 — 120 days late. Late fee = 120 × ₹50 a day = ₹6,000. The cap is 0.04% × ₹3 crore = ₹12,000, so the full ₹6,000 applies.

Example 4 — GSTR-10 after closing the business. A proprietor's registration was cancelled by an order dated 15 June 2026, effective 1 June. GSTR-10 is due three months from the date of cancellation or the cancellation order, whichever is later — by 15 September 2026. Filed on 15 October, it's 30 days late: 30 × ₹200 = ₹6,000, under the ₹10,000 (₹5,000 CGST + ₹5,000 SGST) cap.

Hidden costs of filing late: ITC, blocked returns and state dates

The late fee and interest are only the visible part of the bill. Three other consequences often cost more.

Lost input tax credit. Under section 16(4), you can claim credit for a financial year's purchases only up to 30 November of the following year (or the date you file the annual return, if earlier). Credit is claimed through GSTR-3B, so a business that leaves a run of GSTR-3Bs unfiled past that date can lose the credit for those months permanently, even though it paid the suppliers. On a business with ₹50,000 of monthly credit, a single lost month is worth far more than any late fee cap.

How one missed return snowballs

Step 1

GSTR-3B not filed

late fee + interest

Step 2

Next GSTR-1 blocked

Rule 59(6)

Step 3

Buyers' GSTR-2B empty

they can't claim ITC

Step 4

GSTR-3A notice

15 days to file

Step 5

Cancellation / ITC lapse

after 6 months / 30 Nov

Your buyers lose credit too. If your GSTR-1 is late, your sales don't appear in your customers' GSTR-2B on time, and they can't claim the credit until you file. Larger buyers notice quickly, and some withhold payment or the GST portion of it until the invoices reflect. For a supplier to big companies, late GSTR-1 filing can become a cash-flow problem within a month.

State due dates differ for QRMP filers. Monthly GSTR-3B is due on the 20th of the next month everywhere, but quarterly GSTR-3B under QRMP is due on the 22nd of the month after the quarter in Category A states such as Maharashtra, Gujarat, Karnataka and Tamil Nadu, and on the 24th of the month after the quarter in Category B states such as Delhi, Uttar Pradesh, Punjab and West Bengal. Late fee counts from the day after your state's due date, so a Delhi trader filing on the 24th is on time while a Mumbai trader filing the same day is two days late. The late fee rates and caps themselves are identical across states, because every state's GST Act mirrors the central waiver notifications.

How to pay the late fee

You don't fill in the late fee yourself — the portal calculates it. For GSTR-3B, the late fee for that return appears in Table 5.1 when you file it late, and you must pay it with the tax before the return can be submitted. For GSTR-1, the late fee is added to your next GSTR-3B. For GSTR-9, GSTR-4 and GSTR-10, it appears in the payment table of the return itself.

Paying late fee and interest on the GST portal

1. 1

   Prepare the return and check the liability

   Open the return on gst.gov.in → Services → Returns → Returns Dashboard. In GSTR-3B, check Table 5.1 for interest and late fee; in GSTR-9 or GSTR-10, check the payment table.

2. 2

   Create a challan for the cash amount

   Go to Services → Payments → Create Challan (PMT-06). Enter the amounts under the right heads: tax, interest and fee, separately for CGST and SGST (or IGST).

   Tip: Late fee is entered under 'Fee', not 'Tax' — an amount under the wrong minor head has to be moved later with PMT-09.

3. 3

   Pay online

   Pay by net banking, UPI, debit or credit card, or NEFT/RTGS. The amount reaches your electronic cash ledger once the bank confirms.

4. 4

   Offset and file

   Back in the return, click Make Payment / Post Credit to Ledger. Tax can be set off from credit; late fee and interest are debited from the cash ledger only. File with DSC or EVC and download the acknowledgement.

Late fee can't be paid using input tax credit. Section 49 allows the credit ledger to be used only for output tax, so even a business sitting on a large credit balance needs cash to clear a late fee.

The 3-year time bar and unbarring of returns

The Finance Act 2023 amended sections 37, 39, 44 and 52 so that a return can't be filed after 3 years from its due date. GSTN switched this on from the July 2025 tax period. It covers GSTR-1, IFF, GSTR-1A, GSTR-3B, GSTR-4, GSTR-5, GSTR-6, GSTR-7, GSTR-8 and GSTR-9/9C. Once a return is barred, the portal locks the tile and no late fee will reopen it.

The portal now offers a way back: Services → Returns → Application for Unbarring Returns. You give your reasons, attach up to four supporting documents and submit it to the jurisdictional officer. If the officer approves, all the barred returns are reopened and you have 30 days from approval to file them — miss that, and the unfiled periods are barred again. A rejected application can be re-submitted twice on the same ARN. Late fee and interest still apply in full to returns filed after unbarring.

Leaving returns unfiled has other consequences. After the due date the portal sends a GSTR-3A default notice giving you 15 days to file. If you don't, the officer can assess your tax to the best of their judgment under section 62. Non-filing for six continuous months (monthly filers) can also lead to cancellation of registration, and your GSTR-1 is blocked while the previous GSTR-3B is pending.

Late fee waivers and amnesty: what's open in 2026

GST late fee relief over the years

June 2021

Turnover-based caps for GSTR-3B and GSTR-1 from the June 2021 period; amnesty for GSTR-3B of July 2017–April 2021 filed between 1 June and 31 August 2021

FY 2021-22

GSTR-4 late fee capped at ₹2,000 (₹500 if nil)

April 2023

GSTR-9 late fee cut for FY 2022-23 onwards; one-time window for old GSTR-9s capped at ₹10,000 per Act (closed in 2023)

March 2025

Section 128A waiver of interest and penalty for 2017-18 to 2019-20 demands closed on 31 March 2025 (late fee not covered)

October 2026

57th GST Council recommends late fee waiver for turnover up to ₹5 crore if the return is filed by the end of its due month — pending notification

As of October 2026, no general late fee amnesty is open. The relief that exists is the permanent cap structure in the table above.

The 57th GST Council meeting in October 2026 recommended a new relief: taxpayers with aggregate turnover up to ₹5 crore in the preceding year would pay no late fee on a return under section 39(1) — essentially GSTR-3B — if they file it by the end of the month in which it was due. In Example 1 above, a GSTR-3B due on 20 September and filed on 30 September would qualify; one filed on 15 October wouldn't. The relief covers late fee only, not interest. It will apply only once CBIC issues a notification, so don't skip a due date on the strength of it. We'll update this page when it's notified.

Watch out for messages promising a "GST amnesty" for a fee. Genuine relief is always a CBIC notification listed on cbic-gst.gov.in and announced on gst.gov.in.

Common mistakes and how to avoid the fee

Not filing nil returns. The most common late fee is on returns with nothing in them. If your business is dormant, file nil GSTR-3B and GSTR-1 by SMS or online each period, or cancel the registration.

Waiting for the last day. The portal slows down near the 20th. File GSTR-1 a few days early so the GSTR-3B figures are ready, and keep the cash ledger funded before the due date — Rule 88B then protects you from interest even if filing slips by a day.

Paying under the wrong head. Late fee under "Tax" or CGST under "IGST" leaves the liability open. Fix it with PMT-09 (transfer within the cash ledger) rather than paying twice.

Ignoring old periods. If you have returns approaching three years overdue, file them now. After the bar, you need an officer's approval and you still pay the full late fee.

Official links

• GST portal – Returns and paymentsFile returns, create challans, apply for unbarring
• Section 47 – late feeCGST Act
• Section 50 – interestCGST Act
• Notification 19/2021-Central TaxGSTR-3B caps
• Unbarring of returns – FAQs3-year bar and 30-day window
• CBIC central tax notificationsWatch for the 57th Council waiver

What to do next

Set two monthly reminders — the 9th for GSTR-1 and the 18th for GSTR-3B — and top up your cash ledger before the due date. If you're behind, file the oldest return first, because the portal won't take a later GSTR-3B while an earlier one is pending. Use our GST return filing guide for the calendar, and the GSTR-3B guide for the table-by-table walkthrough.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

What is the late fee for GSTR-3B?

The late fee is ₹50 a day (₹20 a day for a nil return), split equally between CGST and SGST. It's capped per return at ₹500 for nil returns, ₹2,000 for turnover up to ₹1.5 crore, ₹5,000 for ₹1.5–5 crore and ₹10,000 above ₹5 crore.

Is there a late fee waiver or amnesty for GST in 2026?

Not yet. The 57th GST Council meeting in October 2026 recommended waiving late fees for taxpayers with turnover up to ₹5 crore who file a delayed return by the end of the month in which it was due, but it needs a notification before it applies. The earlier amnesty windows closed in 2021 and 2023, and the section 128A waiver closed on 31 March 2025.

How is interest calculated on late GST payment?

Interest is 18% a year a year under section 50, counted from the day after the due date to the day of payment. Where you file the return late, it is charged only on the part of tax paid in cash, not the part set off from input tax credit. Formula: cash tax × 18% × days late ÷ 365.

Can late fee be paid from input tax credit?

No. Late fee, like interest and penalty, must be paid in cash from the electronic cash ledger. Input tax credit can only be used to pay output tax. Deposit the amount through a PMT-06 challan before you file, and the portal debits it when the return is submitted.

Can I file a GST return after three years?

Normally not. Since the July 2025 tax period, the portal bars GSTR-1, GSTR-3B, GSTR-4, GSTR-9 and other returns more than 3 years after their due date. You can apply to the jurisdictional officer through 'Application for Unbarring Returns'; if approved, you get 30 days from approval to file.

What is the late fee for GSTR-9?

For FY 2022-23 onwards it is ₹50 a day if turnover is up to ₹5 crore and ₹100 a day for ₹5–20 crore, both capped at 0.04% of turnover in the state; above ₹20 crore it's ₹200 a day, capped at 0.5% of turnover in the state. GSTR-9 is optional up to ₹2 crore.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 9 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.Section 47 – CGST Act, 2017 (levy of late fee) — CBIC · accessed 9 October 2026
2. 2.Section 50 – CGST Act, 2017 (interest on delayed payment) — CBIC · accessed 9 October 2026
3. 3.Notification No. 19/2021 – Central Tax (GSTR-3B late fee) — CBIC (hosted by GST Council) · accessed 9 October 2026
4. 4.Notification No. 21/2021 – Central Tax (GSTR-4 late fee) — CBIC (hosted by GST Council) · accessed 9 October 2026
5. 5.Notification No. 07/2023 – Central Tax (annual return late fee) — CBIC (copy on GSTGyaan) · accessed 9 October 2026
6. 6.Notification No. 21/2024 – Central Tax (section 128A payment date) — CBIC (hosted by GST Council) · accessed 9 October 2026
7. 7.FAQs – Barring/Unbarring of Returns for Taxpayers — GSTN (GST portal user guide) · accessed 9 October 2026
8. 8.FAQs – System generated Form GSTR-3A — GSTN (GST portal user guide) · accessed 9 October 2026
9. 9.FAQs – Form GSTR-10 — GSTN (GST portal user guide) · accessed 9 October 2026
10. 10.Big relief for small taxpayers: GST Council recommends late fee waiver for delayed returns filed within due month — Taxscan · accessed 9 October 2026