The finance ministry has come up with Standard Operating Procedure (SOP) in respect of GST return non-filers. And as per the issued guidelines such an instance may result in attachment of bank accounts as well as GST registration cancellation.
For registered individuals, the GST law has mandated filing of return either on a monthly basis or quarterly for those suppliers who have opted for composition scheme. An Input Service Distributor or ISD will however be required to file monthly GST return with details regarding credit extended during a specific month.
For others who are required to deduct TDS or collect TCS will also need to file monthly returns providing the details of amount of tax deducted or collected together with other details.
A non-resident individual who falls in the taxable category is also required to file returns for the period of activity.
As per estimates, nearly 20% assessees do not file returns and this hits government's revenue collection targets. And as there was no clarity on how to deal with non-return filers, CBIC issued SOP. Under the guidelines, in a case when registered individuals do not file GST returns by the due date, a system-generated mail or message will be sent to them. Five days hence a notice in form GSTR 3A will be issued asking the taxpayer to file the return or make GST payment within 15 days of time.
And if the defaulter still does not file return then designated officer may begin to assess the individual's tax liability taking into consideration all the data with him or that he has accumulated and would issue order in form GST ASMT-13 as per rule 100.