Home GST CBIC directions to GST officers to get rid of pretend/bogus GST registration for passing pretend ITC

CBIC directions to GST officers to get rid of pretend/bogus GST registration for passing pretend ITC

CBIC directions to GST officers to get rid of pretend/bogus GST registration for passing pretend ITC

CBIC directions to GST officers to get rid of pretend/bogus GST registration for passing pretend ITC

The Central Board Oblique Taxes and Customs(CBIC) has issued Pointers for Processing of Functions for Registration through issuing Instruction Notification. CBIC has instructed GST officers to make sure “unscrupulous components” don’t receive “pretend/bogus GST registration for passing of pretend enter tax credit score (ITC).

Cases have come to note concerning unscrupulous components acquiring pretend/ bogus registration below GST and defrauding the Authorities exchequer. Such pretend/ non-genuine registrations are getting used to fraudulently cross on enter tax credit score to unscrupulous recipients by issuing invoices with none underlying provide of products or companies or each. This menace of pretend registrations and issuance of bogus invoices for passing of pretend ITC has grow to be a major problem, whereby fraudulent folks have interaction in doubtful and complicated transactions, inflicting income loss to the federal government.

Numerous modus operandi of acquiring such pretend registrations have been detected by Central and State Tax administrations. In some circumstances, identities of different individuals like PAN, Aadhaar, and many others. have been misused with out their information to acquire GST registration. Solid paperwork, resembling cast electrical energy payments, property tax receipts, lease agreements, and many others. are additionally getting used as proof of principal place of job to acquire GST registration. In some circumstances, cast identities have been created by utilizing similar photograph of an individual on totally different Aadhaar playing cards below totally different names. In one of many circumstances detected not too long ago, it has been discovered that just a few fraudsters have obtained pretend GST registrations on the premise of PAN and Aadhaar variety of individuals from economically weaker sections by fraudulently modifying the telephone quantity on the Aadhaar playing cards of those individuals by taking these individuals to the Aadhaar Seva Kendra by giving a nominal money quantity below guise of a authorities scheme and getting their Aadhaar Playing cards linked to dummy cellular numbers by utilizing their thumb impression.

To deal with this downside of pretend registration and pretend enter tax credit score, Instruction No.01/2023-GST dated 04.05.2023 has been issued for concerted and coordinated motion on a mission mode by Central and State tax authorities within the type of a Particular All-India Drive towards pretend registrations.

On this context, it’s additional felt that verification of functions for registration by the right officers is likely one of the most important steps within the course of stopping the menace of pretend or bogus registrations. Whereas quite a few initiatives have been/are being undertaken on the coverage and programs stage, it’s pertinent to strengthen the method of scrutiny and verification of such functions for registration on the finish of tax officers.

Accordingly, the next tips are issued for strengthening the method of verification of functions for registration on the finish of tax officers in a uniform method:

1. Instantly on receipt of the appliance for the registration within the Process Record of the involved officer on ACES-GST utility, the officer shall provoke the method of scrutiny and verification of the small print stuffed by the applicant within the utility for registration in FORM GST REG-01and the paperwork uploaded by the applicant together with the mentioned utility.

2. FORM GST REG-01prescribes a listing of paperwork to be uploaded by the applicant in respect of {photograph}, structure of enterprise, principal place of job, checking account, and many others. The right officer shall fastidiously scrutinize the mentioned paperwork to make sure that the paperwork are legible, full and related. Additional, the small print or data furnished by the applicant within the utility also needs to be fastidiously examined by the right officer to examine completeness of the identical, to correlate and cross-verify the identical with the uploaded paperwork and to examine the authenticity of the applicant. The main points of the tackle of principal and extra locations of enterprise and the corresponding paperwork uploaded with the appliance as proof of tackle could also be intently scrutinised to confirm completeness and correctness of tackle of such locations of enterprise. Additional, to the extent potential, the authenticity of the paperwork furnished as proof of tackle could also be cross-verified from the publicly obtainable sources, resembling web sites of the involved authorities resembling land registry, electrical energy distribution corporations, municipalities, and native our bodies, and many others.

To Learn Full Pointers Obtain PDF Given Beneath:


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