Non-compliance with ISD regulations can lead to several penalties, including: Late Fees: A late fee of INR 200 per day (subject to a maximum of INR 5,000) for failing to file GSTR-6 on time. Interest on Late Payment: Interest may be charged on any unpaid tax amount due to non-compliance. Legal Consequences: Continued non-compliance could lead to further legal action from GST authorities, including audits and assessments.