A GST Order has been received to HDFC Life Insurance Company Limited from the office of Assistant State Tax Officer, Panji, North Goa on January 24, 2025, Company’s exchange filing mentioned. The demand order establishes a tax demand of ₹ 93.43 Lakh; Interest of ₹ 63.06 Lakh and penalty of ₹ 9.34 Lakh.
The case is pertinent to the GST short payment on outward supply because of the mismatch between GSTR-3B and GSTR-9; Excess availment of input tax credit due to a mismatch between GSTR-3B and GSTR-2A, and Excess availment of ISD (input Service distributer) credit due to mismatch between GSTR-3B and GSTR-2A.
Recommended: GST Portal Adds New Functionality to GSTR-3B Return for Inputting Negative Values
A GST order was received by the company from the office of the Assistant State Tax Officer, Panji, North Goa dated January 24, 2025.
The private life insurance companies are set to contest the order before an applicable authority.” The said Order is appealable before the Appellate Authority. The Company will file its appeal within the specified period,” HDFC Life cited in a regulatory filing.
What Do Mismatched GST Returns Signify?
Mismatched GST returns occur when there are inconsistencies in the given data in different GST documents or between what suppliers and customers report. Below are some common situations where this emerges-
- GST ITC(Input Tax Credit): Discrepancies in claiming the tax credits can take place when the suppliers submit their reports late or wrongly.
- Adjustments: Errors pertinent to the credit or debit adjustments can directed to differences.
- Tax Information: Tax rates or product code misreporting can cause confusion and inconsistencies.
- Sales Reports: Differences between the reported sales numbers in GSTR-1 and GSTR-3B forms can make mismatches.
Read Also: Life Insurers Oppose GST Exemption for Term Policies, Advocate for Retaining ITC Benefits
Mismatches Outcomes
- You may forfeit the ability to claim tax credits or have them reversed.
- You can suffer fines or interest charges for the wrong reports.
- Inquiries or audits may arise from tax authorities.
What is the Method to Prevent Mismatches?
- Supplier Communication: keep communication good with suppliers to ensure they submit their reports precisely and on time.
- Double-Check Details: Verify tax identification numbers, invoice information, and tax rates before submitting your forms.
- Valid Mistakes: Use the options available if you discover errors to rectify them.
- Ask for professional assistance: You can consult tax experts to help in ensuring your filings are precise.
- Regular Checks: Often compare the information in your GSTR-1, GSTR-3B, and other filings to ensure they match.
You can reduce discrepancies and stay compliant with the tax norms by reviewing your data regularly and making timely corrections.
