Harassment by GST State Authorities to honest Tax Payers.

Harassment by State Authorities to honest Tax Payers.
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The All Odisha Indirect Tax Legal Consultants' Association ( AOITLCA) has expressed serious concern over growing trend of sending of scrutiny notices by the different GST authorities of State Government to asseessees for mismatch between tax payments and final sales return even before the whole process of tax liabilities is completed under the GST rules and regulations.

In a statement, it said assessees are being issued notices by different State authorities to explain mismatches of details in GSTR-1 and GSTR-3B for the same period.

"The State Governments authorities issuing such notices fail to appreciate that GSTR-3B requires self assessed detail of tax liability and the ITC whereas in GSTR-1, the assesee is required to give invoice-wise details of sales. Such a notice is highly premature particularly in view of the fact that Forms GSTR-2 and GSTR-3 have been extended indefinitely. Form GSTR-3B is only an interim measure and returns are to be finalized only after filing GSTR-2 and GSTR-3, " said Lokanath Mishra , President ( AOITLCA).

Not only this, the assessees are not getting even 30 days time to respond to these notices as mandated under GST law.

Mishra said under the existing GST rules the tax authorities do not have to take cognisance of GSTR-2A till the process of tax reconciliation is finalised.

Presently only companies have to file GSTR-1 and GSTR-3B. The process of reconciliation between GSTR-2A and GSTR-3B is yet to be finalised by the GST authorities, Mishra said.

Therefore, Mishra said, there is no need for tax authorities to send mismatch scrutiny notices at this point in time.

Till the final process of reconciliation is put in place by the tax authorities, sending of scrutiny notices for mismatch in GST returns will cause unwaranted and avoidable harassment to taxpayers, Mishra said. It is totally harassment by different State Authorities. Mishra said at initial stage all the Assessees should be placed under Center control instead of placing them under State Government Authorities. Central Agencies are being performed their work as per the provisions of statute without harassing tax payers , Mishra said in a press Statement.