Quick reference to tax compliance and reliefs provided under The Taxation and Other Laws (Relaxation of Certain Provisions) Ordinance, 2020 and Notifications issued after 20.3.2020 {Part 8}-Goods and Services Tax Laws, Payment of TDS under GST

  1. Under GST law TDS is required to be deducted and paid in accordance with the provisions of section 51 of the CGST Act, 2017 w. Notification No. 50/2018 – Central Tax dated 13.9.2018, applicable w.e.f. 1.10.2018.

Payment of TDS

  1. As per section 51(2) of the CGST Act, the amount deducted as tax under this section is required to be paid to the Government by the deductor within 10 days after the end of the month in which such deduction is made.

Furnishing of TDS returns

  1. Now, vide Notification No. 35/2020-Central Tax dated 3.4.2020, the due dates for furnishing of TDS returns in Form GSTR-7 have been extend as follows, as they fall between the period from 20.3.2020 to 29.6.2020 :
  • For TDS of March, 2020 – due date 10.4.2020 – extended up to 30.6.2020.
  • For TDS of April, 2020 –  due date 10.5.2020   –  extended up to 30.6.2020
  • For TDS of May, 2020 – due date 10.6.2020  – extended up to 30.6.2020

Extension of date of payment of TDS

  1. A question is being raised whether the date of deposit of such payment has also been extended vide notification N. 35/2020-Central Tax dated 03.04.2020?
  2. In this regards the Central Board of Indirect Taxes and Customs has, vide Circular No. 137/2020 dated 13.4.2020 has clarified as follows:

“As per notification No. 35/2020-Central Tax dated 03.04.2020, where the timeline for any compliance required as per sub-section (3) of section 39 and section 51 of the Central Goods and Services Tax Act, 2017 falls during the period from 20.03.2020 to 29.06.2020, the same has been extended till 30.06.2020.

Accordingly, the due date for furnishing of return in FORM GSTR-7 along with deposit of tax deducted for the said period has also been extended till 30.06.2020 and no interest under section 50 shall be leviable if tax deducted is deposited by 30.06.2020.”