Vinay Pratap Singh, deputy commissioner-cum-excise and taxation commissioner, assured on Tuesday that the procedure will be restricted to physical verification alone and will not in any way involve an inspection of the taxpayers’ commercial properties.
The initiative is part of a unique, two-month nationwide campaign that the central and state GST administrations initiated from May 16 to July 15 to identify fraudulent and suspicious GST registrations, eliminate false billers from the GST ecosystem, and protect government revenue.
The UT Excise and Taxation department has begun a campaign to find fraudulent taxpayers who are passing fake input tax credits (ITC). To confirm the validity of registrations, physical inspections of the taxpayers’ business locations are conducted.
The commissioner stated that action would be taken against fraudulent and non-operational taxpayers who engage in fictitious transactions but are not detected at their major place of business. Following the GST law’s provisions, action will be taken against such fictitious or fraudulent taxpayers.
Genuine taxpayers should make sure that they are adhering to all GST compliance requirements and not panic about this drive. He asked for genuine taxpayers’ assistance in identifying fraudulent taxpayers.
A delegation from the Chandigarh Beopar Mandal (CBM) recently called on to discuss with Additional Excise and Taxation Commissioner (AETC), Alok Passi concerns from the business sector over potential harassment of traders if the GST department performed a door-to-door survey.
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The president of CBM, Charanjiv Singh, had pleaded for such surveys to be conducted exclusively based on some significant inputs rather than by tax officers going door-to-door.
The officer had informed the delegation that finding any fictitious GST registrations made under pretences and at fictitious addresses would be the department’s utmost priority.
