TMI BlogAssessment and AuditX X X X Extracts X X X X X X X X Extracts X X X X ..... ional basis. This is governed by section 60 of CGST/SGST Act. Tax can be paid on a provisional basis only after the proper officer has permitted it through an order passed by him. For this purpose, the taxable person has to make a written request to the proper officer, giving reasons for payment of tax on a provisional basis. Such a request can be made by the taxable person only in such cases where he is unable to determine: a) the value of goods or services to be supplied by him, or b) determine the tax rate applicable to the goods or services to be supplied by him. In such cases the taxable person has to execute a bond in the prescribed form, and with such surety or security as the proper officer may deem fit. Q 3. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons: (a) Proceed to conduct audit under Section 65 of the Act; (b) Direct the conduct of a special audit under Section 66 which is to be conducted by a Chartered Accountant or a Cost Accountant nominated for this purpose by the Commissioner; or (c) Undertake procedures of inspection, search and seizure under Section 67 of the Act; or (d) Initiate proceeding for determination of tax and other dues under Section 73 or 74 of the Act. Q 6. If a taxable person fails to file the return required under law (under section 39 (monthly/quarterly), or 45 (final return), what legal recourse is available to the tax officer? Ans. The proper officer has to first issue a notice to the defaulting taxable person under secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he financial year to which non-payment of tax relates. Q 10. Under what circumstances can a tax officer initiate Summary Assessment? Ans. As per section 64 of CGST/SGST Act, Summary Assessments can be initiated to protect the interest of revenue when: a) the proper officer has evidence that a taxable person has incurred a liability to pay tax under the Act, and b) the proper officer believes that delay in passing an assessment order will adversely affect the interest of revenue. Such order can be passed after seeking permission from the Additional Commissioner / Joint Commissioner. Q 11. Other than appellate remedy, is there any other recourse available to the taxpayer against a summary assessment order? ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... specific order, may conduct audit of any registered person. The frequency and manner of audit will be prescribed in due course. (Section 65 of the CGST/SGST Act) (c) Special Audit: If at any stage of scrutiny, inquiry, investigations or any other proceedings, if department is of the opinion that the value has not been correctly declared or credit availed is not with in the normal limits, department may order special audit by chartered accountant or cost accountant, nominated by department. (Section 66 of the CGST/SGST Act) Q 14. Whether any prior intimation is required before conducting the audit? Ans. Yes, prior intimation is required and the taxable person should be informed at least 15 working days prior to conduct of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an a special audit be instituted? Ans. A special audit can be instituted in limited circumstances where during scrutiny, investigation, etc. it comes to the notice that a case is complex or the revenue stake is high. This power is given in section 66 of CGST /SGST Act. Q 20. Who can serve the notice of communication for special audit? Ans. The Assistant / Deputy Commissioner is to serve the communication for special audit only after prior approval of the Commissioner. Q 21. Who will do the special audit? Ans. A Chartered Accountant or a Cost Accountant so nominated by the Commissioner may undertake the audit. Q 22. What is the time limit to submit the audit report? Ans. The auditor will have to subm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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