::::::Amnesty 128 A - complete Coverage ::::::

GST Amnesty Scheme: March 31, 2025 is the deadline to pay the tax demand dues. June 30, 2025 is the deadline to apply for GST Amnesty Scheme. ​CA Pradeep Reddy, says: "The amnesty scheme under Section 128A offers a much-needed waiver of interest and penalty for FY 2017-18 to 2019-20, provided the business pays 100% of the GST dues. To ease practical difficulties, CBIC has issued two helpful clarifications via amendment to Rule 164.

With just few days left for the March 31, 2025 deadline to deposit the GST tax demand due amount for applying to GST Amnesty Scheme under Section 128A the government has made few amendments to Rule 164. These amendments are aimed at solving two primary issues faced by GST registered taxpayers and which were preventing them from effectively using GST Amnesty Scheme-waiver of penalty and interest. The amendments relate to payment of GST tax demand and GST tax demand’s appeal application for those years where GST Amnesty Scheme is not applicable. To make the amendments clear, the government has also released some frequently asked questions about the same.

There are two deadlines to watch out for:

• March 31, 2025: GST Amnesty Scheme tax demand payment
• June 30, 2025: Apply for GST Amnesty Scheme

Amendment 1- GST tax demand appeals

According to the notification (No. 11/2025–Central Tax) dated March 27, 2025 here are the details: "For the removal of doubt, it is clarified that the appeal application shall be deemed to have been withdrawn to the extent of the said intimation for the period from the 1st July, 2017 to the 31st March, 2020 or part thereof, for the purpose of sub-clause (3) of section 128A."

Amendment 2- Payment of GST tax demand

According to the notification (No. 11/2025–Central Tax) dated March 27, 2025 here are the details: "No refund shall be available for any tax, interest, and penalty, which has already been discharged for the entire period, prior to the commencement of the Central Goods and Services Tax (Second Amendment) Rules, 2025, in cases where a notice or statement or order mentioned in sub-section (1) of section 128A, includes a demand of tax, partially for the ..

FAQs about the issues solved by the amendment to GST Amnesty Scheme under Section 128A

Issue 1- GST tax demand payment

Q1. Whether the cases where tax has been paid through return in FORM GSTR-3B instead of through FORM GST DRC-03, prior to the notification of section 128A i.e.1st November 2024, would be eligible for the benefit under section 128A of the CGST Act?

Answer: ..

It is clarified that the cases where the payment of tax has been made through FORM GSTR 3B prior to the issuance of demand notice and/or adjudication order before the date 1st November 2024, shall also be eligible for benefit under section 128A of the CGST Act, subject to verification by the proper officer.

Issue- 2- GST Tax demand appeal application

Q2. Whether (i) the entire amount of tax demanded is required to be discharged and
(ii) the appeal is required to be withdrawn for the entire period, where notices/statements/orders issued to taxpayers, pertains to the period covered partially under Section 128A and partially by those outside it.

Answer: In cases where the notice/statement or order etc. pertains to the period partially covered under

Section 128A and partially beyond the said period, Rule 164 (4) and proviso to Rule 164(7) have been amended to allow the taxpayer to file an application under FORM SPL-01 or FORM SPL-02 as the case may be after making payment of his tax liability for the periods covered under section 128A.

The taxpayer after filing FORM SPL01 or FORM SPL-02 as the case may, shall intimate the appellate authority or Tribunal his intent to avail the benefit of Section 128A and that he does not intend to pursue the appeal for the period covered under the said Section i.e. FY 2017-18 to 2019-20.

The Appellate Authority or Appellate Tribunal as the case may, shall after taking note of the said request, pass such order for the period other than that mentioned in the said sub-section, as it think  and proper.