Beware: Data mismatches to trigger notices under automated GST scrutiny. No casual Approach while filing

No Casual Approach in filing GST Returns...Data mismatch to trigger notices under automated GST scrutiny


Similar to income tax returns processing, now the process of GST notices will also be automated through a system driven approach instead of direct notices from the assessment officer.  Hence the GST assessee should take extra precaution while filing the various GST Returns.  They have to avoid the casual approach and the filing person should have proper knowledge of the Domain.

Use of data analytics for scrutiny of returns should lead to reduced physical interface with the department and ultimately enhance ease of doing business

The central government's rollout of automated scrutiny of Goods and Services Tax (GST) returns this week could lead to assessees getting notices in cases where there are data mismatches between different types of tax returns.

The Central Board of Indirect Taxes and Customs (CBIC) going to roll out an automated scrutiny module for GST returns for central GST officers. The idea is to enable the officers to carry out scrutiny of GST returns on the basis of data analytics and risks identified by the system.

Similar to income tax returns processing, now the process of GST notices will also be automated through a system-driven approach instead of direct notices from the assessment officer.  A business-to-business fintech software as a service (SaaS) company.  This will perhaps lead to more notices where there are differences in data between say forms GSTR1 and GSTR 3B,"

This will be part of the GST department’s plans to use more data analytics to improve compliance. In a recent national-level coordination meeting of Central and state tax officials, the use of data analytics was a key focus area to cut down on tax evasion. New functionalities have been introduced in the Advanced Analytics in Indirect Taxation (ADVAIT) system that would allow deeper analysis of revenue and trends in export and import. It would also use advance data science models to analyse outliers in both customs and GST.

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