Under the campaign, officials are first going to those businessmen who have claimed input tax credits in excess of sales. To fraud in GST, many such registrations were also done which have nothing to do with the business. It is mandatory for the businessmen registered on the GST Network portal to display the GST number at their shop, industrial unit, or on a board outside their office. Failure to do so can attract a fine of up to Rs 50,000 from the trader. Since last May 16, an intensive campaign for GST verification is being carried out by the Central Board of Indirect Taxes and Customs (CBIC). Under this campaign, CBIC officials are instructing all businessmen to strictly implement the GST number display rule.
Exercise to increase GST collection
Under this campaign, which will continue till July 15, CBIC officials will try to reach all the businessmen registered in GST so that their veracity can be checked. Experts say that with the help of this campaign, it will also help in increasing the GST collection. The GST expert said that the GST number, mobile number, address, and email ID should be clearly written in letters on the signboard hung on the premises of the businessmen. The given mobile number should also have contact with the owner of the firm taking the GST number.
forgery will stop
Chartered Accountant and GST expert Praveen Sharma said that there is a provision of Rs 50,000 fine on the traders who do not do so, but at present the traders do not follow this rule. According to tax experts, by making the display of GST numbers mandatory, service sector businessmen involved in the composite scheme will not be able to collect GST fraudulently from customers. Restaurant or dhaba owners with an annual turnover of fewer than 50 lakhs are included in the composite scheme and have no right to collect GST. But such small restaurants and dhabas also charge five percent GST from the customers. Strict enforcement of the sign board rule will stop this type of forgery.
GST fraudsters targeted
According to CBIC sources, under the campaign, officials are first going to those businessmen who have claimed input tax credits in excess of sales. To fraud in GST, many such registrations were also done which have nothing to do with the business. On the other hand, traders said that this type of campaign promotes Inspector Raj. Many business organizations have also expressed their concern by giving letters to CBIC.
