Summary to circular no. 129/48/2019-gst dated 24.12.2019

Jan 03, 2020 | CMA Rehan

GST department is all set with harsh decision to send automated SCNs to non-filers of 3B within 5 days of due date.

Department has issued Circular No. 129/48/2019-GST Dated 24.12.2019

Following are the summary to Circular No. 129/48/2019-GST Dated 24.12.2019

Being a registered taxpayer, you are required to furnish return (GSTR 3B) by prescribed due date (20th of following month). If taxpayer does not file return by prescribed due date, department will send a request to file the same within 15 days. Failing filing return within 15 days, tax liability may be assessed u/s 62 of the Act based on relevant information available with the department (Relevant information may be from GSTR 1, auto populated GSTR 2A, E-Way Bills or information gathered through inspection by the department).

  1. The Circular has provided the Standardized Formats for search authorization, arrests, summons, inspections w.e.f. 1st January 2020.
  2. The board has also issued following SOP (Standardized Operating Procedure) to be followed by the department
  1. An automated reminder will be sent to the taxpayers 3 days before the due date of filing the return.
  2. Second reminder will be sent if the return is not filed before the due date. The said mail/message is to be sent to the authorized signatory as well as the proprietor/partner/director/karta, etc.
  3. A notice in form 3A will be issued if the return is not filed within 5 days of due date requiring the taxable person to file such return within 15 days.
  4. Standard format of form 3A is prescribed in Circular, the same may be issued based on return filing status
  5. In case, the return is still not filed within 15 days from the date of notice, order to pay tax will be assessed by the department on the basis of the best judgment assessment in Form GST ASMT 13 without any further communication.
  6. If the return is filed within 30 days of order in Form GST ASMT 13  (issue of assessment order date), the said order will be deemed to have been withdrawn.
  7. If the return is not filed within 30 days of order, officer may proceed for action under section 78 and recovery under section 79.
  8. In case of non furnishing of the return, the department may resort to provisional attachment to protect revenue before issuance of FORM GST ASMT-13.
  9. Further department would initiate action for cancellation of registration in cases where the return has not been furnished

Note: The best judgment assessment by the department may be based on the information available in GSTR 1, auto populated GSTR 2A, E-Way Bill or information available through inspection.

 

Author

CMA Md Rehan
Partner
CKC LLP (Chakraborty Kapoor & Co. LLP)
Cost Accountants
New Delhi
rehan@cmackc.com