Delhi government launches drive against GST defaulters

New Delhi, Oct 12 (IANS) In order to ensure compliance of Goods and Services Tax (GST) provisions, the Delhi government on Friday launched an extensive drive against tax and return defaulters with an aim to increase revenue for the national capital.

The move by the Department of Trade and Taxes is aimed at checking tax evasion and bridge the revenue gap.

"A detailed strategy has been chalked out by the department and numerous instructions like identifying dealers carrying out business without registration and rigorous follow-up of notices to non-filers of return have been issued to GST officers of the state tax department," VAT Commissioner H. Rajesh Prasad said giving details of the drive.

Other instructions, Prasad said, include identification and action against tax payers claiming excessive Input Tax Credit (ITC) in GSTR-3B filed as compared to GSTR-2A, action against tax payers showing lesser output tax liability in GSTR-3B filed as compared to GSTR-1, scrutiny of Input Tax Credit (ITC) claimed by the tax payers in TRAN-1 form and action on the tax payers claiming excessive ITC.

The drive will also include physical verification of at least 10 per cent of new tax payers to curb issuance of bogus invoices, physical verification of old or migrated tax payers in suspicious cases, creating mobile squads to check the system of e-way bill and invoices during the movement of goods within Delhi, and verification of the returns filed by work contractors in Delhi.

A statement by the Delhi government said that show-cause notices have also been issued to 51,500 tax defaulters.

"As of now, notices have been issued to the 51,500 tax payers who have not filed GSTR-3B returns for the tax periods concerned," the statement said.

Besides, it said, 135 notices have been issued in respect of excessive claim of ITC in GSTR-3B by the tax payers, and 837 notices have been issued for showing lesser output tax liability in GSTR-3B returns by the tax payers as compared to GSTR-1.

(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)

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