The Central Board of Indirect Taxes and Customs (CBIC) provides the guidelines of the scrutiny for GST, towards the first two years of the new indirect tax regime, it is a plan to eliminate the chance of leakages and increase the collections.
CBIC provides the expressive list of parameters, which recommends that there was another imposition on the entities which claims for the ITC via specific segments, along with that in which the tax collected at source, like for eCommerce. For the former two years, the tax council monitored the ITC, due to multiple bogus cases and inclusion in the list of parameters rendered to the possible steps in the coming time for seeing the misuse of the same
After 5 years post to its start, the government is seeing at the scrutiny and tough audit norms to rectify the revenue generation via GST, as well as improve the GST rate structure on which the ministerial panels are working.
The standard operating process provided to the field officers mentioned that the Directorate General of Analytics and risk management is allocating the chores to choose the GSTINs registered with the Central tax authorities, whose returns would be chosen for the scrutiny. The GST number would be then shared with the officers of the zone, with tight timelines provided to finish the procedure.
During the process of scrutiny, the officers were told to see the information available on the department’s systems like GST e-way bills and maintain the interface with the assessee to a minimal level. Also, the officers are recommended to avoid taking the documents till the completion of the procedure. In case of discrepancies, a notice is to be provided, asking for the elaboration, with the amount left along with the interest on that to be prescribed.
“It may also be ensured that discrepancies so communicated may, as far as possible, be specific in nature and not vague or general, officers mentioned.”
