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What are the penal consequences if a taxable person violates the condition and is not eligible for payment of tax under the Composition scheme?

QuestionsCategory: GSTWhat are the penal consequences if a taxable person violates the condition and is not eligible for payment of tax under the Composition scheme?
Profile photo of AdviKaurAdviKaur Staff asked 7 months ago

What are the penal consequences if a taxable person violates the condition and is not eligible for payment of tax under the Composition scheme?

1 Answers
Profile photo of JayeshMehtaJayeshMehta Staff answered 7 months ago

Taxable person who was not eligible for the composition scheme would be liable to pay tax, interest and
in addition he shall also be liable to a penalty equivalent to the amount of tax payable. (Section 8 (3) of the MGL).