GST Amnesty Scheme: GSTN Clarifies New Process to Pay Tax Demand

The Goods and Services Tax Network (GSTN) has issued a fresh advisory outlining the steps taxpayers need to follow to pay tax demands under the GST amnesty scheme. This scheme, which offers waivers on interest and penalties for specific periods, has introduced a new temporary process for taxpayers to comply until the designated forms are made available.

Temporary Process for Tax Payments
As per GSTN’s notification on November 8, 2024, the forms required for this purpose—GST SPL-01 and GST SPL-02—are still under development and are expected to be available on the GST portal by the first week of January 2025. Meanwhile, taxpayers can proceed using alternative methods to ensure they benefit from the scheme without delays.

Taxpayers can pay the tax demand:

1. Through Form GST DRC-03:
   • Applicable to taxpayers who have received a show cause notice (SCN) but have not yet received an adjudicating order.
   • If part payments have already been made, adjustments can be linked to the demand order using Form GST DRC-03A, now available on the GST portal.
2. Via the Electronic Liability Ledger:
   • For taxpayers against whom adjudicating orders (order in original) have been issued but no order in appeal has been passed.
   • Payments can be made through the electronic liability ledger in the post-login mode on the GST portal using the path: Services > Ledgers > Electronic Liability Register > Part-I: Return Related Liabilities.

Waiting for SPL-01 and SPL-02 Forms
Taxpayers who prefer to use the upcoming forms can wait until they are made available in January 2025. However, for those who wish to take advantage of the waiver benefits immediately, following the outlined temporary process is advisable.

Scheme Applicability and Deadline
The GST amnesty scheme is applicable to demand notices or orders issued under Section 73 of the CGST Act, 2017. This includes cases not involving fraud, suppression, or willful misstatements for the financial years 2017-18, 2018-19, and 2019-20. To avail of the waiver, taxpayers must ensure full payment of the tax demand by March 31, 2025.

GST Council’s Intentions
The scheme is part of the GST Council’s effort to reduce tax disputes and offer relief to taxpayers by waiving interest and penalties for eligible cases.

For more details, taxpayers can visit the official GST portal and follow the advisory issued by GSTN.