General Penalty / Residual Penalty [ Section 125 ] - GST Ready Reckoner - GST

General Penalty / Residual Penalty offences for which no other penalty is provided under this Act Any person, who contravenes any of the provisions of this Act or any rules made thereunder for which no penalty is separately provided for under this Act, shall be liable to a penalty which may extend to ₹ 25,000/- . [ Section 125 ] Seeking waiver from penalty under section 125 1. Waives the amount of penalty payable by any registered person under section 125 for non-compliance of the provisions by Class of registered person required to issue invoice having Dynamic Quick Response (QR) code ( notification No.14/2020 Central Tax, dated 21st March, 2020 ), between the period from the 1st day of December, 2020 to the 30th day of September, 2021. [ Notification No. 28/2021 Central Tax dated 30 June 2021 ] Comparative review General penalty provisions are more or less in line with the following provisions of subsumed Central laws in addition to the provisions of VAT laws of various States: Section/Rule Act/Rule Provision Rule 27 Central Excise Rules, 2002 General penalty Rule 15A CENVAT Credit Rules, 2004 General penalty Section 77 Finance Act, 1994 General penalty for residual offences The residuary penalties as prescribed under service tax law and central excise law are up to 10,000/- and 5,000/ respectively. There is substantial increase in the maximum limit of penalty as prescribed under the GST Act.(25000) Case law HERO STEEL LIMITED VERSUS ASSISTANT COMMISSIONER STATE TAXES EXCISE-CUM-PROPER OFFICER, BADDI (HP) ( 2022 (9) TMI 91 - APPELLATE AUTHORITY, GST, HIMACHAL PRADESH ) Issue: Imposition of tax and penalty under section 129 of CGST/HPGST Act 2017 due to expired E-Way bill. Facts: The vehicle carrying goods was intercepted, and the E-Way bill was found expired. The appellant claimed that the E-Way bill was extended and valid until midnight of 30.06.2019. The proper officer imposed tax and penalty without verifying the E-Way bill's validity on the portal and without providing a proper opportunity to be heard. Final Decision: The appeal was allowed, and the impugned order was quashed. A penalty of Rs. 15,000/- was imposed under section 125 of HPGST/CGST Act on the Appellant. The respondent was directed to recover the penalty amount and refund the balance to the Appellant as per law.