According to the strict compliance set by the goods and services tax, not only taxpayers but also the GST officers will be in trouble in case if there are some discrepancies found in the cases related to the GST.
The rule is said to be coming in force from 1 nov 2018 and would require GST officers to pay penalty as per the norms. The administrative department will be under this rule and it will be integrated under the TDS system.
According to the new law, it will be mandatory for the chief of administrative departments both of district and tehsil level to follow the rules as per slated in the new TDS system.
The chief of administrative departments will be liable to deduct the taxes according to the GST laws and under the TDS system and will also be responsible to deposit such taxes in the revenue treasure as per the given timeline.
The commercial tax department is set to implement TDS under GST mechanism in the next month in states in which there is a mandatory deduction of TDS while payment to any contractor for any supply of goods and services.
The deduction will be done on the payment amount of 2.5 lakh or above and the deducted tax is to be deposited with the government till every 10th of the month.
Also, it is compulsory for the department head to issue a certificate of TDS deduction to the supplier or the payment receiving party. It is very much important for the department head to issue the TDS deduction certification if he fails then there is a penalty of INR 10,000 for the same mistake.
Read Also: Easy Filing Procedure to GSTR 7 Form Online for TDS Deductor
The government seeks to get all the revenues and tax collection in the treasure as soon as possible which seems the reason for such strict compliance and penalty provision on the head of the department.
