The GST Council introduced an Amnesty Scheme allowing businesses to clear old pending demands at significantly reduced amounts. If your business has outstanding GST demands, SCNs (Show Cause Notices), or demands under Sections 73/74, this is an important opportunity to regularise your standing.
What is the Amnesty Scheme?
Under the scheme, taxpayers can settle demands raised for FY 2017-18 to FY 2019-20 by paying 25% of the disputed demand amount in cases where no fraud is alleged (Section 73 cases). For fraud cases under Section 74, the settlement amount is higher.
Eligibility and Conditions
The scheme covers demands where no appeal has been filed, or where appeals are pending before the Appellate Authority. Taxpayers must withdraw pending appeals before applying. Payment must be made by the specified deadline.
Should You Apply?
If the demand is genuinely disputed, weigh the settlement cost against litigation expenses and time. Our CA team analyses each client’s GST demand position individually and recommends the best course of action.
📌 Need Help With This?
Our CA experts can help you with all aspects covered in this article. Get a free consultation today.