Section 125 of The Central Goods and Services Tax Act, 2017
Any person, who contravenes any of the provisions of this Act or any rules made thereunder for which no penalty is separately provided for in this Act, shall be liable to a penalty which may extend to twenty-five thousand rupees.
Summary
- This rule creates a general backup penalty for any violations of the law or rules that do not have a specific penalty mentioned elsewhere.
- The maximum fine under this general penalty is twenty-five thousand rupees.
- It ensures that no breach of the tax laws goes unpunished simply because a specific section was not written for it.
Practical examples
FAQ
1. Under Section 125 of The Central Goods and Services Tax Act, 2017, what happens if I break a rule that has no specific penalty listed?
Section 125 of The Central Goods and Services Tax Act, 2017 applies a general penalty for such contraventions.
2. What is the maximum fine under Section 125 of the Central GST Act?
Under Section 125 of The Central Goods and Services Tax Act, 2017, the penalty may extend to twenty-five thousand rupees.
3. Can Section 125 of the 2017 Tax law be used if another section already provides a penalty for my offence?
No, Section 125 of The Central Goods and Services Tax Act, 2017 is strictly for cases where no penalty is separately provided for in the Act.
Test yourself
Q1.According to Section 125 of The Central Goods and Services Tax Act, 2017, when does the general penalty apply?
Q2.What is the maximum penalty amount specified in Section 125 of the Central GST Act?
Q3.Under Section 125 of The Central Goods and Services Tax Act, 2017, who is liable for this general penalty?
Q4.Does Section 125 of the 2017 GST Act apply only to breaches of the Act itself, or also the rules made under it?