The GST Council in it's 39th GST Council Meeting had notified that the interest will be chargeable on the net GST liability and that too with retrospective effect that is July 2017. However, as per the latest notification, 1/09/2020 has been notified as to the effective date for the same. The notification has led to all the more confusion among the taxpayers. As it is contrary to the announcement made in the Council Meeting. Here is the official notification:
MINISTRY OF FINANCE
(Department of Revenue)
(Central Board of Indirect Taxes and Customs)
New Delhi, the 25th August, 2020
No. 63/2020 - Central Tax
"G.S.R. 527(E). - In exercise of the powers conferred by sub-section (2) of section 1 of the Finance (No. 2) Act, 2019 (23 of 2019), the Central Government hereby appoints the 1st day of September 2020, as the date on which the provisions of section 100 of the Finance (No. 2) Act, 2019 (23 of 2019), shall come into force."
[F. No. 20/06/09/2019-GST]
PRAMOD KUMAR, Director
In such a scenario the Finance Minister or the CBIC shall come with clarification and clear the confusion caused among the taxpayers.