New Delhi, The government is set to crack the whip on GST non-filers with plans afoot to cancel registration of repeat offenders.
Amid lower-than-expected GST collection in the past few months of the current fiscal, the Central Board of Indirect Taxes and Customs (CBIC) has directed zonal offices to go tough on non-filers.
Accordingly, the Mumbai office of the Principal Chief Commissioner of GST and Central Excise has issued directives to field officers for ensuring strict compliance.
The development has come close on the heels of CBIC Chief P.K. Das expressing serious concern over non-compliance by GST registrants.
In a video conference with Principal Chief Commissioners and Chief Commissioner of GST and Customs on November 13, the CBIC chief had expressed his displeasure in the progress of cancellation of registration of entities that have not filed GSTR-3B returns for six or more than six return periods and are liable for action under section 29 of CGST Act.
“Hence, I have been directed to once again request you that the task of cancellation of registration of such non-filers of GST returns should be taken on priority basis and should be finished by November 25, 2019,” Sukhjit Kumar, an Additional Commissioner in Mumbai Zone, wrote to field officers.
Rajat Mohan, Senior Partner, AMRG & Associates said that the GST law provides for cancellation of registration in case of repeat non-compliance.
“In fact, there should be provision for auto cancellation of registration,” he said.