GST techniques will periodically examine standing of month-to-month returns filed and taxes paid by companies since August and block era of e-way invoice in case of non-compliance, GSTN has mentioned.
GST Network, the corporate that handles the know-how spine for items and companies tax, mentioned the blocking of the digital manner invoice era facility has now resumed on the e-way invoice portal for all of the taxpayers.
“Going forward, from the tax period August 2021 onwards, the system will periodically check the status of returns filed in form GSTR-3B or the statements filed in Form GST CMP-08 as per the regular procedure followed before pandemic, and block the generation of EWBs (e-way bill) as per rule,” it mentioned.
Last 12 months, the Central Board of Indirect Taxes and Customs (CBIC) had suspended the blocking of digital manner (e-way) invoice era for non-filers to present them compliance aid through the COVID-19 pandemic.
In August this 12 months, GSTN in advisory to taxpayers had mentioned that the federal government has determined to renew the blocking of e-way invoice era facility on the EWB portal, for all of the taxpayers from August 15 onwards. Thus, after August 15, 2021, the system will examine the standing of returns filed in Form GSTR-3B or the statements filed in Form GST CMP-08 (for composition taxpayers submitting quarterly returns) and limit the era of EWB within the case of non-filers, it had mentioned.
As per GST guidelines, the e-way invoice era facility could be restricted, in case the enterprise fails to file return in Form GSTR-3B / assertion in CMP-08, for consecutive two tax durations or extra.
“To avail EWB generation facility on EWB portal on a continuous basis, you are, therefore, advised to file your pending GSTR 3B returns/ CMP-08 Statement on regular basis,” GSTN mentioned.
AMRG & Associates Senior Partner Rajat Mohan mentioned, “This automated check will push non-compliant taxpayers out of the supply chain leading to an acquiescent business ecosystem. Implementation of this check coupled with festive season is bound to push tax collections for the current month”.
Nexdigm Executive Director (Indirect Tax) Saket Patawari mentioned that with the resumption of companies after the second wave of the pandemic, the federal government now appears to be targeted on augmenting GST income assortment and adherence to compliances.