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How do I Deal with GST Notice
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TaxShooter
22 posts
Oct 18, 2022
10:51 PM
GST Notices come in a variety of forms, including show cause, demand, and scrutiny notices, to name a few. This article provides a summary of all GST notification kinds as well as the taxpayer's alternatives.

What is Notice under GST

Notices are communications from the GST Authorities under the GST. These are sent to taxpayers in order to notify or warn them of any defaults that have been discovered, specifically for failing to comply with GST requirements. Other times, notices may be issued solely for the purpose of obtaining additional information from the taxpayer. Rarely do tax authorities issue notices when products are moved or services are rendered without being subject to tax scrutiny or when taxpayers behave in an unusual manner. The actions taken by the GST authorities are based on any information gathered during the verification of the taxpayer's GST Returns or obtained from another government agency or from any third parties.

A notice may go by different names, such as a show cause notice (SCN), scrutiny notice, or demand notice, depending on the circumstances of each case and the nature and seriousness of the taxpayer's deficiency. The most frequent reasons for receiving notices under GST include mistakes made by the taxpayers, such as failing to register under GST as required by law, failing to file GST returns on time or at all, paying GST late or insufficiently, claiming too many input tax credit claims, etc.

A taxpayer is required to respond to notices within the time frame stated in the notice with prompt action. If this isn't done, the taxpayer risk getting into legal trouble. The authorities may pursue criminal charges in such a case or may view it as a deliberate breach and impose punishment.



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