Tax Consultant

Section 125 of CGST Act, 2017 – General Penalty Updated on: June 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Objective of Section 125 Section 125 serves as a residual or general penalty provision under the GST law. It applies where a person contravenes any provision of the CGST Act or the rules made thereunder for which no separate penalty has been specifically prescribed. The provision ensures that every statutory obligation under GST remains enforceable, even where a specific penalty section is not available. 2. Statutory Provision – Section 125 Any person who contravenes any of the provisions of this Act or any rules made thereunder for which no penalty is separately provided under this Act, shall be liable to a penalty which may extend to: ₹25,000 3. Nature of Section 125 Section 125 is commonly known as the: General Penalty Provision Residual Penalty Provision Default Penalty Provision It is invoked only when...

Section 124 of CGST Act, 2017 – Fine for Failure to Furnish Statistics Updated on: June 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Objective of Section 124 Section 124 provides for the imposition of a fine where a person who is required to furnish statistics under Section 151 of the CGST Act fails to do so or knowingly furnishes false statistical information. The provision aims to ensure the accuracy and reliability of statistical data collected for GST administration, policy formulation and economic analysis. 2. Statutory Provision – Section 124 If any person required to furnish statistics under Section 151: Fails to furnish the required statistics without reasonable cause, or Knowingly furnishes false statistics he may be punished with a fine which may extend to ₹10,000 . Where the offence continues after conviction, an additional fine may extend to ₹100 per day for the period during which the failure continues. 3. L...

Section 123 of CGST Act, 2017 – Penalty for Failure to Furnish Information Return Updated on: June 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Objective of Section 123 Section 123 imposes a penalty on persons who are required to furnish an Information Return under Section 150 of the CGST Act but fail to do so within the prescribed time. The provision helps the GST administration obtain information from various sources for verification, compliance monitoring and prevention of tax evasion. 2. Statutory Provision – Section 123 Where a person who is required to furnish an information return under Section 150 fails to do so within the prescribed period, the proper officer may direct such person to furnish the return within a specified period. If the person continues to fail in furnishing the information return, he shall be liable to a penalty of: ₹100 per day during which the failure continues, subject to a maximum penalty of ₹5,000. ...