The government’s resolution to abolish the GST annual audit with some important GST will assist at least 10 million firms to save their audit fee whose worth is nearly Rs 30k cr yearly and while cutting the compliance burden 2 councils with direct knowledge of the matter stated upon the anonymity. But the accountants are not in favour.
“The Finance Bill, 2021, will amend the law, which will be notified soon after. The basic purpose of this move is to expand the GST base by reducing compliance burden and help businesses, particularly small firms, save by not paying audit fees to professionals,” one of the 2 council states.
But Nihar N. Jambusaria, president of the Institute of Chartered Accountants of India (ICAI), begged to differ. “We are of the view that provisions relating to GST audit and certification of reconciliation statement by a chartered accountant (CA) should be retained in the GST law. The audit is not avoidable compliance; it is a preventive necessity,”
In the Budget 2021-22, it has been urged to remove the important need of getting the yearly accounts audited and the reuniting statement furnished through the specified professionals like CAs beneath the GST regime an individual stated above. The GST council has opted this decision before, the main body who opts the decisions for the objectives relevant to the GST in March 2020 but it can not be implemented as per the covid-19 along with the lockdown.
The need for the certification will be removed from professionals, ease annual compliance and save costs as the self-certification gets executed. The turnover which is mentioned in the GST return 
Get to know the online procedure of filing GST returns in India. We provide each and every GST form according to the taxpayers category is to be matched with the financial statements.
“Currently, the review is done by an independent professional who highlights the mismatches to the taxpayer. In the case where taxes are not paid on account of such mismatches, the report is qualified by the professional. The existing process enables the timely identification of gaps. The self-certification process may not identify such mismatches on a timely basis,” stated that Sunil Kumar, the deputy general manager at tax research.
He is aware that the identification of these gaps through the council in the future will engage the penalties as well as interest so to have the tax furnished. The Institute of Chartered Accountants of India (ICAI) with respect to the Budget proposal directed that.
The GST regime has been rising at a faster rate and the assessee urged professional instruction and holding “Revenue is recognized differently in accounting and GST law… For this reason, it is essential that the reconciliation statement be certified by a CA who is proficient in both accounting aspects and GST law.”
“GST audit by a CA ensures the maker-checker concept, thereby detecting inconsistencies, lapses, errors, and ambiguities, if any, in complying with the provisions of the GST law. Thus, audit ensures compliance,”
The revocation of the central government has been canceled and the self-certification will be the major saving towards the businesses.
Furthermore, he stated that “As of 12 February 2020, 12.42 lakh taxpayers were required to submit GSTR-9C (the annual GST return). The audit should not be seen as a cost to the taxpayer, rather it is an investment for him, the benefits of which are reaped over a period of time,”
