Another drive on fake GST registrations from August 16

Premises, credentials to be verified, ITC may be blocked or recovered

Sushma Ramachandran

Updated At : 09:49 AM Aug 14, 2024 IST

Shivani Bhakoo

Tribune News Service

Ludhiana, August 13

The GST policy wing of the Department of Revenue, Central Board of Indirect Taxes and Customs, is launching another special drive against fake registrations from August 16. The drive will continue till October 15.

Selective taxpayers, identified by the system, will be verified. It will involve physical verification of premises as well as the credentials of the taxpayer. If the verification is not satisfactory, the registration number of the taxpayer could be suspended or cancelled. Further, the ITC (input tax credit) of the taxpayer can also be blocked. The action of recovery of ITC from recipients of goods or services of the said taxpayer will also be taken by the jurisdiction officers of the recipients.

Naveen Thaman, an advocate dealing in GST and Customs, said the drive was launched at the level of both the governments (Central GST and state GST) last year from May 16 to August 14, 2023. “About 1,500 fake registrations were found by the department in Ludhiana. Cracking the whip on more such cases, the drive is being launched again,” said Thaman. Taxpayers have been advised that if someone has changed his premises or shut business, it should immediately be reported to the department. For the verification process, one must answer the calls made by the GST wing.

It may be mentioned here that during the last drive, a lot of hue and cry was raised by the traders and the industrialists against the ‘Inspector Raj’. But the names are picked up by the software when it finds any discrepancy or where more detail is required or things are to be clarified.

Drive to continue till October 15

The drive launched by the Department of Revenue, Central Board of Indirect Taxes and Customs, will cobtinue till october 15
The action of recovery of the input tax credit from recipients of goods or services of the said taxpayer will also be taken by jurisdiction officers of the recipients.
Taxpayers have been advised that if someone has changed his premises or shut business, it should immediately be reported to the department. For the verification process, one must answer the calls made by the GST wing.