Another big action to stop fake GST registration, now bank account details will have to be given within 30 days
In the 50th meeting of the GST Council held last Tuesday i.e. yesterday, several decisions were taken to stop fake registrations in the GST Network (GSTN). Now you have to provide a valid bank account number within 30 days of registration with GSTN else your GSTN registration will be canceled. Know how many days time was available earlier and what is the whole news.
Several decisions were taken in the 50th meeting of the GST Council last Tuesday to prevent fake registration on the GST Network (GSTN).
Now you have to provide your valid bank account number within 30 days of getting registered on GSTN otherwise the registration on GSTN will be cancelled.
Let us tell you that earlier bank account details had to be given within 45 days and many times the businessmen did not even give the bank account details. According to the new rule, it has been made mandatory to give PAN numbers along with the bank account within 30 days.
According to the decision taken in the council, in the future, suspicious businessmen will be registered on GSTN with biometric authentication of Aadhaar so that there is no risk of any kind.
After the pilot project of biometric authentication in Gujarat and Puducherry, now Andhra Pradesh has also expressed its desire to adopt it in its state. According to the decision of the GST Council, now Input Tax Credit (ITC) in excess of the limit will not be recovered from the government.
Recently, a campaign was launched by the Indirect Tax Department to identify fake businessmen registered on GSTN, under which 70,000 suspicious firms were identified. Out of these 60,000 firms have been scrutinized and out of these 17,000 registrations were found to be fake. Now by making the rule strict for registration on GSTN, this type of fraud will be stopped.
GST expert and Chartered Accountant (CA) Praveen Sharma said that when a businessman files a GSTR-1 return, it contains detailed information about his business, and GSTR-2B is generated based on that. In this 2B, it is automatically known how much ITC is being generated by the businessman.
Suppose the ITC of a businessman is being generated at Rs.1 crore and he claims ITC of Rs.1.26 crore, then a notice will be issued to the businessman and he will have to respond. Notice will be issued for claiming an ITC of more than 25 lakhs from the amount of ITC generated in 2B.
