9911796707
TMI BlogCancellation/Deregistration of GSTIN as per provisions of Assam GST Act.X X X X Extracts X X X X X X X X Extracts X X X X ..... e Proper officers to become proactive in cancellation of inactive GSTIN. In this regard, it may be referred to Circular No.25/2018 (No. CT/GST15/2017/196 dated 29.10.2018) issued from this office as per decision of GST Council to guide the jurisdictional officers to process cancellation application. You may recall several training programs so far imparted to you in this regard. The detailed presentation made through a VC on 2nd August, 2018 would have been a guiding documents for your ready reference. This matter has become prime point of discussion in subsequent VCs also. Time and again, this Commissionerate pressed upon you to understand the adverse consequence of keeping such inactive GSTIN alive. These GSTIN are creating administrative inconvenience in following manners: * These GSTINs are not contributing any revenue to the state. * These GSTIN are affecting adversely the Tax-officers-taxpayer's ratio and administrative efficacy. * The existence of such inactive GSTIN are causing overall low return filing ratio. But, it is very disappointing to see that the Unit offices have not put any effort to cleanse these GSTIN. As a result, because of these inoperative GSTIN ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tive of their threshold limit provisionally migrated to GST although almost 20% of the existing taxpayers were not having threshold limit less than 10 lakhs or 20 lakhs or 40 lakhs as applicable now. In course of time, most of such taxpayers opted out from continuing to be regular taxpayers and at the same time stopped filing returns with an impression that as they were no more liable under GST hence they had no obligation to file returns. Action to be taken by Unit office: Identify such taxpayers with help of the records extracted from earlier tax regime and cancel the registration as per law. 2. Multiple IDs allotted to single taxpayer for migration under GST: While the transition process was initiated, although same dealer had multiple registrations under multiple Acts such as VAT, Entry Tax, CST Act or Central excise/service Acts, all such registrations were allotted separate provisional IDs to the same dealer. Subsequently, some of the dealer being uncertain, activated all such provisional ids but presently operating only one out of such migrated IDs. Action to be taken by unit office: Identify such taxpayers with help of the records extracted from earlier tax regime and ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n/verification of the location through Inspectors and cancel the registration as per law if required. Field verification to be ensured against doubtful new application for registration. 7. Persons having registration with no business premises or no stock: There are some registered taxpayers who are registered but have no entity of business premises or no stock that endorse business activities. Action to be taken by Unit office: Conduct physical inspection/verification of the location through Inspectors and cancel the registration as per law if required. Field verification to be ensured against doubtful new application for registration. In this regard, it may be mentioned that now field verification by Inspectors can be uploaded electronically in the portal and may be uploaded from the location of verification itself through "GST FIELD VISIT" APP. This App is free downloadable from "play store" in android mobile. Based on the report of the Inspectors, Proper officers may initiate such GSTIN. (Post Registration Field Visit as the name suggests is a visit by the tax authorities to the premises of the Taxpayer post grant of registration to Taxpayer. The Field visit will be conducted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bsequent VCs. The PPT gives an Illustrative step by step guidelines on suo-motu cancellation of registration for ready reference. In this regard you may refresh your memory about the following contents of the Circular No.25/2018 (No. CT/GST-15/2017/196 dated 29.10.2018): Para: 5: "Since the cancellation of registration has no effect on the liability of the taxpayer for any acts of commission/omission committed before or after the date of cancellation, the Proper officer should accept all such applications within a period of30 days from the date of filing the application." Para: 7: Section 45 of the Assam GST Act requires every registered person whose registration has been cancelled, to file a final return in FORM GSTR-10, within three months of the effective date of cancellation or date of order of cancellation, whichever is later. The purpose of the final return is to ensure that the taxpayer discharges any liability that he may have incurred u/s 29(5) of Assam GST Act. (Section 29(5) : Every registered person whose registration is cancelled shall pay an amount, by way of debit in the electronic credit ledger or electronic cash ledger, equivalent to the credit of input tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tus of the statutory violation of which the earlier registration(s) were cancelled. The data may be verified on common portal by fetching the details of registration taken on the PAN mentioned in the new application vis-å-vis cancellation of registration obtained on same PAN." It is felt necessary to refresh the provisions for cancellation of registration as prescribed in the GST law for your ready reference: Section 29(1) 1. Business that has been discontinued 2. Transfer of business 3. Death of proprietor 4. Amalgamation with other legal entity 5. Demerger 6. Otherwise disposed of business 7. Change in constitution of business 8. No longer liable to be registered Registration can be cancelled by the proper officer on his own motion or on application by the owner or his legal heirs. Section 29(2) 1. A registered person who has contravened such provisions of the Act or rules as prescribed in rule 21 2. A composition taxpayer who has not furnished return for three consecutive tax period 3. Any taxpayer other than composition taxpayer who has not furnished returns for a continuous period of six months 4. Any person who has taken voluntary registratio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by a notice in writing, require any other person from whom money is due or may become due to such person or who holds or may subsequently hold money for or on account of such person, to pay to the Government either forthwith upon the money becoming due or being held, or within the time specified in the notice not being before the money becomes due or is held, so much of the money as is sufficient to pay the amount due from such person or the whole of the money when it is equal to or less than that amount. It means that the liability may be recovered from the Bank GSTIN or by selling his movable or immovable property. Steps to be taken by a proper Officer: * Identify the GSTIN for cancellation based on the above mentioned criteria * Conduct field verification if required and take cognizance of field report. In case of cancellation other than non-submission of return being the reason * Issue Show Cause Notice in FORM GST REG - 17 * Wait for 7 days for receipt of reply in FORM GST REG - 18 * Cancel the registration irrespective of discharge of liability. In case of non-submission of Return being the reason * Not to wait for more than 2 months to initiate proceeding aga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... TURN FILING Month Taxpayer eligible for GSTR-1 GSTR-1 filed till 31st May,2019 Percentage April, 18 68,215 35,074 51.42% May, 18 70,090 35,492 50.64% June,18 1,34,911 83,577 61.64% July,18 72,660 36,104 49.69% August, 18 73,698 36,069 48.94% September, 18 1,43,299 85,127 59.41% October, 18 75,566 35,343 46.77% November,18 76,591 34,253 44.72% December, 18 1,50,092 78,255 52.14% January,19 78,467 32,098 40.91% February,19 79,555 29,947 37.64% March,19 1,57,238 56,586 35.99% April,19 1,05,736 20,075 18.99% Whereas, the rate of filing for the same period is much higher than the GSTR-1 GSTR-3B RETURN FILING Month Taxpayer eligible for GSTR-3B GSTR-3B filed till 31st May,2019 Percentage April, 18 1,27,520 98,630 77.34% May, 18 1,31,906 1,01,069 76.62% June,18 1,34,911 1,02,926 76.29% July, 18 1,38,403 1,04,604 75.58% August, 18 1,41,113 1,05,808 74.98% September,18 1,43,299 1,06, 224 74.13% October,18 1,45,688 1,05,335 72.30% November,18 1,47,983 1,01,369 68.50% December,18 1,50,092 1,00,500 66.96% January,19 1,52,381 98,495 64.64% February,19 1,54,733 96,291 62.23% March, 19 1,57 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... em to file returns of their clients punctually. The dais must be shared with the Central officials. * Share and exchange expertise and experience with the Central agency for common revenue orientation. * Arrange joint door to door drive to create a constant pressure on the defaulting taxpayers for return submission. It is believed that all the officers will take note of the above facts and understand the importance of improving the rate of return submission. This will not only improve the rate of return filing but it will also show more revenue growth. It is really a matter of great satisfaction that in certain parameters, Assam is much ahead of the national average: * Assam has recorded a revenue growth of 7% against the national growth rate of 4.9% * Assam has recorded a lower revenue gap of 12.2% against the national gap of 20.9% * Assam has imparted maximum number of training programs. In addition to retaining this lead in revenue parameter, utmost effort must be put to increase the rate of return filing also. This will automatically take the revenue growth to a greater height. This can be achieved by decreasing the value of denominator (reduction of inactive GSTIN ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
