India will introduce a new range of fines to help improve the weak compliance record of many firms, following a recent increase in the number of Indian VAT audits.
From 12 September 2013, India announcing an increased fine regime, including:
- Late VAT registrations will attract a daily fine of 500 rupees;
- A fine of 500 rupees for every day a VAT registration is not correctly kept up-to-date or does not reflect a businesses’ changed status;
- Late VAT returns will suffer a daily fine of 500 rupees per day; and
- There will be an amnesty for companies which voluntarily come forward to declare any overdue compliance obligations.
