Aadhar authentication of the enrolled shall be important to get entitled for filing the refund claim and application of revocation of cancellation of the GST registration through taxpayers. The finance ministry has mentioned the date.
The GST official in its 17th Sept has decided to make the Aadhar authentication important. The guidelines have been mentioned in the rules by FM on 24th Sept and notified that these shall be subjected from the date to be announced later. And now the same has been performed with the notification on 21st Dec.
The rule mentioned the mechanism for the authentication. Towards the concern of the proprietorship firm, an authentication shall be undergone within the proprietor’s Aadhaar number. The same would be entitled of any partner, towards the concern of the partnership firm of Karta in the concern of the Hindu undivided family, of the Managing director or any whole-time director for the case of a company, of any of the members of the managing committee of an Association of persons or body of individuals or a society, or of the Trustee in the Board of Trustees in the case of a Trust.
Aadhar authentication was begun to vide Finance Act, 2019 and executed in 2020 to control the tax theft upon the simpler registration process that was provided in 3 working days and there is no examination. Aadhar comprises of essential similar to LPG subsidy, scholarship and others, under the supreme court Judgement but some exceptions are built beneath GST also towards the individual who does not have Aadhar.
If the assessee files the information of Aadhar then the facility of auto-approval of the registration is available if not then a brief physical verification process gets function to confirm their identity through the additional documents.
As per the tax expert, Aadhar authentication under the GST regime is an issue at the first phase of the enrollment process for the people who are asking for bogus enrollment. The major challenge is to authenticate the Aadhar of more than 1.64 cr promotes, authorized signatory, and others who are pre-registered.
“Since it is not pragmatic to undertake Aadhar authentication of all the existing registration at the same period of time, it is significant that necessary checks are placed in grey areas from where the probability of revenue leakage is high. And it seems that recommendations have been made in this line only to make Aadhar authentication mandatory, where cancelled registrations are to be revoked and in case of refunds of IGST on exports of goods, he stated.”
