Section 47: Late Fee, and the Caps That Actually Apply

Section 47 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.

The statutory late fee and the late fee actually charged are two different numbers, and the gap between them is entirely a matter of notifications.

Section 47(1): any registered person who fails to furnish the details of outward or inward supplies under s.37 or s.38, returns under s.39 or s.45, or the statement under s.52, shall pay a late fee of one hundred rupees for every day during which the failure continues, subject to a maximum of five thousand rupees. Section 47(2): for the annual return under s.44, one hundred rupees a day, subject to a maximum of 0.25% of turnover in the State or Union territory. Notifications have reduced both substantially, in turnover-linked slabs, and separately for nil returns.

The statutory position

Section 47(1) — ₹100 per day, maximum ₹5,000. Under CGST, with an identical amount under SGST, so ₹200 per day, maximum ₹10,000 in aggregate.

Section 47(2) — annual return, ₹100 per day, maximum 0.25% of turnover in the State or Union territory. Again mirrored under SGST, so ₹200 per day and 0.5% of turnover in aggregate.

The second is the more significant number for a large business. A ₹100 crore State turnover carries a theoretical annual return cap of ₹50 lakh.

The notified reductions

The Government has, by notification under s.128 — power to waive penalty or fee — reduced the late fee in structured ways.

For GSTR-3B and GSTR-1, the reduction is turnover-linked, with lower caps for smaller taxpayers and a higher cap above the top slab. The broad shape:

For GSTR-9, the annual return late fee has been similarly reduced by turnover slab.

For GSTR-4 and GSTR-10, separate reductions have been notified.

Because these are notification-driven and have changed repeatedly, the applicable figure must be checked against the current notification for the return and the period — not assumed from memory or from an earlier year.

The nil-return rate

A nil return — no outward supplies, no inward supplies, no liability — carries a specifically reduced late fee, which is the lowest of the slabs.

Two practical points:

Filing a nil return is always cheaper than not filing. The late fee for a nil return is small; the consequences of a missing return are not. Sequential filing blocks every subsequent period, and repeated non-filing is a cancellation ground under s.29(2)(c). Sequential filing →

Nil returns can be filed by SMS. The facility exists for GSTR-3B and GSTR-1 where the return is entirely nil, which removes the practical excuse for not filing.

What late fee cannot do

It cannot be waived by the officer. Section 128 vests the waiver power in the Government, on the Council's recommendation, by notification, for such class of taxpayers and under such mitigating circumstances as may be specified. An individual officer has no discretion.

It cannot be paid from the credit ledger. Section 49(4) confines the credit ledger to output tax. Late fee comes from the electronic cash ledger.

It cannot be avoided by filing without payment. Section 39(7) requires the tax due as per the return to be paid not later than the last date for furnishing it, and the portal will not accept a return with an undischarged liability.

It does not stop interest. Late fee and interest under s.50 run independently.

Section 47's reach

Note which returns are covered:

• s.37 — outward supplies, GSTR-1;
• s.38 — communication of inward supplies;
• s.39 — GSTR-3B, GSTR-4, GSTR-5, GSTR-6, GSTR-7;
• s.45 — final return, GSTR-10;
• s.52 — TCS statement, GSTR-8;
• s.44 — annual return, under s.47(2).

GSTR-9C is not separately named; it is furnished along with the annual return under s.44, so the s.47(2) late fee attaches to the annual return package.

Key takeaways

• s.47(1): ₹100 per day per Act, maximum ₹5,000 per Act.
• s.47(2): annual return, ₹100 per day, capped at 0.25% of State turnover per Act.
• Notifications have reduced both, in turnover-linked slabs, and separately for nil returns.
• The applicable figure must be checked against the current notification for the return and period.
• Late fee is payable in cash and cannot be waived by an officer — only by Government notification under s.128.
• Filing a nil return is always cheaper than the consequences of not filing.

Read next

• GST Late Fees and Interest Calculation
• Section 50: Interest on the Cash Portion Only
• Sequential Filing: Why One Missed Return Blocks Everything
• Nil Return Filing: GSTR-1 and GSTR-3B

Disclaimer: Positions stated as on 5 September 2026, based on the CGST Act as amended to 31 March 2026 (ICAI Bare Law, 12th edition). Late fee reductions are notification-driven and change frequently — verify the current figure for the return and period.