poonawalla

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More


In Circular No.129/48/2019 GST dt. 24.12.2019, Board issues the clarifications and guidelines regarding appropriate procedure to be followed in case of Non-furnishing of return u/s-39 (Return) or Sec-44(Annual Return) or Sec-45(Final Return) of CGST Act,2017.

Procedure to be followed in case of Non-filers of returns

As per Sec-46 of CGST Act read with Rule-68 of CGST Rules 2017,

  • requires issuance of a notice
  • in FORM GSTR-3A
  • to a registered person,
  • who fails to furnish return u/s-39(Return)/Sec-44(Annual Return)/Sec-45(Final Return) (as defaulter )
  • requiring him to furnish such return
  • within 15 days.

Further section 62 provides for assessment of non-filers of return of registered persons, who fails to furnish return u/s-39 or 45 even after service of notice u/s-46.

  • As such, no separate notice is required to be issued for best judgment assessment u/s-62
  • and
  • in case of failure
  •  to file return
  • with in 15 days of issuance of FORM GSTR-3A,
  • the best judgment assessment in FORM ASMT-13
  • can be issued without any further communication.

Board issues following guidelines to ensure uniformity in implementation of the provisions of law across the field formations -

 
  1. a system generated message be sent to all registered persons 3 days before the due date to nudge them about filing of return for tax period by due date.
  2. Once due date for furnishing return u/s-39 is over,
  • a system generated mail/message be sent to all defaulters,
  • immediately after the due date
  • to the effect that said registered person
  • has not furnished his return for said tax period;
  • said mail/message is to be sent to authorized signatory as well as proprietor/partner/director/karta etc.
  1. 5 days after due date of furnishing the return,
  • a notice in FORM GSTR-3A be issued,
  • electronically,
  • to such registered person,
  • who fails to furnish return u/s-39,
  • requiring him to furnish such return within 15 days;
  1. If said return is still not filed by defaulter
  • within 15 days of said notice,
  • proper officer may proceed to assess the tax liability of said person u/s-62 of CGST Act,
  • to best of his judgement and
  • would issue order in FORM GST ASMT-13.
  • Proper officer be required to upload the summary in FORM GST DRC-07;
 
  1. For the purpose of assessment of tax liability u/s-62 of CGST Act, Proper officer may take into account
  • details of outward supplies available in statement furnished u/s-37 (FORM GSTR-1),
  • details of supplies auto-populated in FORM GSTR-2A,
  • information available from e-way bills,
  • or any other information available from any other source,
  • including from inspection u/s-71;
  1. If defaulter furnishes a valid return
  • within 30 days of service of assessment order in FORM GST-ASMT-13,
  • said assessment order shall be deemed to have been withdrawn in terms of provision of section 62(2) of CGST Act.

However, if said return remains unfurnished

  • within statutory period of 30 days from issuance of order in FORM ASMT-13,
  • then proper officer may initiate proceedings u/s-78 and
  • recovery u/s-79 of CGST Act;

Above general guidelines may be followed by proper officer in case of non-furnishing of return. In deserving cases, based on the facts of the case, Commissioner may resort to provisional attachment to protect revenue u/s-83 of CGST Act before issuance of FORM GST ASMT-13.

Further, proper officer be initiated action u/s-29(2) of CGST Act for cancellation of registration in cases where return has not been furnished for the period specified in section 29.

Disclaimer: The contents of this article are solely for informational purpose. It does not constitute professional advice or a formal recommendation. No part of this article should be distributed or copied without express written permission of the author.


 

Published by

Kusum Gandhi
(AGM)
Category GST   Report

2 Likes   16 Shares   6081 Views

Comments


Related Articles


Loading



Popular Articles




Follow Book Book GST Live Course Book Business Course caclubindia books


CCI Articles

submit article

Stay updated with latest Articles!




update