Answer

1. F

   Facts

   No. Interest is on tax paid late, and a nil return has no tax. Only late fee applies.

2. P

   Provisions and law

   • Sec 50(1), CGST Act 2017Interest is payable on tax paid late for the period of delay at the notified rate (18 percent a year); on a late return it is levied only on the portion paid in cash, except where proceedings under Sec 73, 74 or 74A have started.
   • Sec 47(1), CGST Act 2017Late fee of ₹100 per day under CGST (and an equal amount under SGST) up to ₹5,000 for late returns and statements, reduced by notification for many returns.
3. A

   Analysis

   Late fee for nil GSTR-3B is reduced by notification to ₹20 a day (₹10 CGST plus ₹10 SGST), capped as notified; check the latest notification. Nil returns can often be filed by SMS. File on time to avoid the late fee and blocking of e-way bills.

4. C

   Conclusion

   1. 1Confirm the return is truly nil.
   2. 2File by SMS or portal.
   3. 3Pay the late fee if late.
   4. 4Set reminders for future dates.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.