What is GST Notice?
GST Notice under the Goods and Services Tax (GST) law are a medium used by tax authorities to communicate to taxpayers. GST notices are usually sent as a word of caution for any defaults noticed by authorities specifically in GST compliance, or to collect more information from taxpayers
2. Common Reasons for Issue of GST Notices by GST Department
The most common reasons for issuance of a GST notice are:
- Issuance of scrutiny notice due to a mismatch of details furnished between GSTR 1 and GSTR 3B
- Difference in amounts of ITC claimed in GSTR 3B as compared to GSTR 2A & GSTR 2B
- Delayed filing of GST Return (GSTR-1) and then consecutively delayed filing of GSTR 3B for over 6 months
- Inconsistent declarations made in GSTR 1 and the e-way bill portal
- Issuance of SCN when GST is not paid by the taxpayer or is paid as short payment, either with or without any fraudulent intention
- Issuance of SCN when GST is wrongly refunded, either with or without any fraudulent intention
- Wrongly availed or utilized ITC
- When a business which is liable to register under GST has not been registered, and tax and other liabilities have not been discharged under the GST Act
- Exports reported inconsistently in Form GSTR 1 with the required information lodged accurately on ICEGATE
- When any additional information is required by authorities related to the records maintained by the taxpayer
- When tax authorities have to conduct an audit
- When the information return which was required to be filed before GST authorities has not been submitted within the specified period of time
Types of GST Notices
- GSTR-3A:- Default notice for taxpayers who have not filed GST returns in GSTR-1, GSTR-3B, GSTR-4, or GSTR-8
- CMP-05:- Show Cause Notice (SCN) questioning the taxpayer’s eligibility to be a composition dealer
- REG-03:- Sent while verification of GST registration application to ask the taxpayer to clarify details entered in the application and the documents provided. The same notice form is applicable for amending the GST registration.
- REG-17:- SCN asking justification as to why the GST registration of taxpayer should not be canceled for the reasons mentioned in the notice.
- REG-23:- SCN asking justification as to why the cancellation of taxpayers GST registration should be revoked for the reasons mentioned in the notice.
- REG-27:- For migration of taxpayers from VAT to GST regime, a notice may be issued within the prescribed time in REG-26 for not making an application after obtaining provisional registration, or for not providing complete or accurate details in it.
- PCT-03:- SCN for the GST practitioners misconduct.
- RFD-08:- SCN asking why GST should not be refunded to the taxpayer
- ASMT-02:- Notice seeking additional information for carrying out provisional assessment under GST
- ASMT-06:- Notice seeking additional information for carrying out final assessment under GST for applicants of provisional assessment.
- ASMT-10:- Scrutiny notice intimating discrepancies in filed GST returns after scrutiny along with any payable tax, interest, or other amounts related to such discrepancy
- ASMT-14:- SCN for assessment under Section 63 reasons for assessing based on best judgment
- ADT-01:- Notice for an audit to be conducted by a GST authority under Section 65
- Enquiry Notice by Directorate of Anti-profiteering:- When supplier does not pass the benefit of ITC or reduced GST rates to the supplier, all interested parties get a notice asking for additional information
- DRC-01:- SCN issued for demanding unpaid or shortly paid tax with or without fraudulent intention. Served along with details statement in DRC-02.
- DRC-10 & DRC-17:- Notice for auctioning goods under Section 79(1)(b) a reference to the demand order will be given, being the order of recovery through specified officer under Section 79, Or, Recovery by executing the decree.
- DRC-13:- Notice for recovering outstanding tax from a third person.
- DRC-16:- Notice for attachment and sale of movable/immovable goods/shares under Section 79.
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