Section 123 enforces the duty of banks, registrars and other authorities to file information returns under section 150.
Key points
- Under section 123 of the CGST Act, 2017 a person required to furnish an information return under section 150 who fails to do so within the period in the notice may be directed to pay a penalty of Rs. 100 for each day of continued default, up to Rs. 5,000.
The provisions
123Penalty for failure to furnish information return
Statutory text
If a person who is required to furnish an information return under section 150 fails to do so within the period specified in the notice issued under sub-section (3) thereof, the proper officer may direct that such person shall be liable to pay a penalty of one hundred rupees for each day of the period during which the failure to furnish such return continues:
Provided that the penalty imposed under this section shall not exceed five thousand rupees.
*Enforced w.e.f. 1st July, 2017 .
Statutory text as published on the CBIC tax information portal, as on 03.10.2026; the numbered notes record each amendment. Official source
Common questions
- What is the penalty for not filing an information return under GST?
- Rs. 100 a day, up to Rs. 5,000 (section 123 CGST).
Commentary and case notes checked against the judgments and CBIC sources on 04.10.2026.
What it means
The penalty follows a notice under section 150(3) requiring the return within a specified time.