CBIC Introduces New Rule 164 for Waiver of Interest and Penalties in GST Proceedings

The CBIC has introduced Rule 164 for the waiver of interest and penalties in GST proceedings, effective November 1, 2024. This new rule, issued through Notification No. 20/2024 – Central Tax, outlines the procedure and conditions for closing proceedings under Section 128A related to demands raised under Section 73. Taxpayers can apply for waivers electronically using FORM GST SPL-01 or FORM GST SPL-02. The waiver applies to erroneous refunds and other tax demands, with applications required within three to six months from the date notified under Section 128A. Proper officers will review applications and issue notices if claims are ineligible.