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  Due to ever changing due dates of GSTR 3B return fillings and relaxations given by the government from payments of GST liability and interest there upon, there is always a confusion on how to calculate the interest on GST Liability. Interest on GST on Net Tax liability The key question to answer is “whether the interest should be charged on the Gross Liability or the Net Tax Liability if the GSTR 3B is not filed on time”. The provision of interest on late payment of GST liability is enumerated in section 50(1) of CGST Act, 2017. The provision is reproduced hereunder for convenient reading. As per Section 50(1) of the Act: “Every person who is liable to pay tax in accordance with the provisions of this Act or the rules made thereunder, but fails to pay the tax or any part thereof to the Government within the period prescribed, shall, for the period for which the tax or any part thereof remains unpaid, pay, on his own, interest at such rate, not exceeding eighteen per cent, as may ...

The whole world is coming out with their advisories for dealing with the implications of the Covid-19 Fallout. The sole accounting body in India has not left its footprint for the same. Although SEBI has given more time to file earnings reports , corporates are still trying to meet their internal deadline amidst this fight against the Coronavirus. This puts a very high pressure on CFOs and Auditors to close the numbers and sign off while working from home. The ICAI has released its guidelines for CFOs and Auditors on how to handle certain specific accounting issues due to Covid-19. We have summarized possible accounting implications under Ind AS reporting related to Covid -19. 1. Inventory : Reconsider Inventory Valuations to the “Net Realizable Value” considering the following: Reduced movement in inventory Decline in selling price Inventory obsolescence due to lower expected sales Amount of fixed overhead allocated to each unit of production shall not be incre...