Starting from May 16, 2023 and running till July 15, 2023 the drive aims to identify suspicious and fake Goods and Service Tax Identification Numbers (GSTINs) and take appropriate action to eliminate fraudulent billers from the GST Ecosystem.

Action by Department for Non-Compliance

• Initiate the suspension and cancellation of the GST Registration.
• Plan and execute field visits to examine the registered premises and associated documents.
• Examine the need to block input tax credit in the electronic credit ledger as per the provisions.
• Identify the recipients to whom the input tax credit has been passed by non-existent taxpayers through the details furnished in the GSTR-1.
• Take suitable action when a linked suspicious GSTIN is detected during the investigation / verification process.

Consequences for Non-Compliance

• Penalties as per the CGST & SGST Acts.
• Initiation of procedures to cancel the GST registration.
• Blocking of Input Tax Credit.
• Recovery of Input Tax Credit if availed from any fake GST invoice.

Considerations for Taxpayers

• Display the GSTIN & Registration Certificate prominently at their business premises.
• Ensure the renewal of rent agreements and gather KYC documents of Proprietor / Partner / Directors to review all supporting documents submitted during GST registration.
• Display the exact trading name as mentioned in the GST Registration Certificate along with the GSTIN.
• Review details of suppliers from whom goods are being purchased and reconcile them with GSTR-2B each month.
• Verify the authenticity of suppliers to ensure goods are purchased from genuine sources.
• Maintain accurate books of accounts as prescribed by the GST Act and ensure compliance with all requirements.
• Regularly check the compliance status of suppliers of goods and services, timely file GSTR-1 & GSTR-3B within the due dates.

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