We assist in GST Assessment and Scrutiny proceedings.
Assessment under GST involves determination of tax liability. Scrutiny of returns is conducted to verify the correctness of the returns filed.
Assessment means - The determination of tax liability under the GST Act.
Assessment is a part of GST compliance.
Types of Assessment under GST
- Self-assessment - done by the taxpayer himself
- Persons with GST registration must file GST returns and pay GST every month based on self-assessment of GST liability.
- Notice – 15 Working days Advance Notice
- However, the Government at all times has the right to re-assess or perform an assessment by itself and determine if there is a short payment of GST.
Assessments by Tax Authorities
- Provisional assessment
- Scrutiny of tax returns filed by registered taxable persons
- Assessment of registered person who has failed to file their GST returns
- Assessment of unregistered persons
- Summary assessment in Special Cases
- The taxable person is required to pay tax based on self-assessment
- Every registered taxable person shall assess the taxes payable and furnish a return for each tax period.
- Hence, all GST return filings are based on self- assessment by the taxpayer.
Examples :
Filing of GSTR-1, Filing of GSTR-3B, Filing of CMP-08, Filing of GSTR-4, Filing of GSTR-9
Assessee can request the officer for provisional assessment if he cannot determine value or rate.
Unable to determine value due to difficulty in –
- Calculating the transaction value as per S.15
- Understanding whether certain receipts should be included or not
Unable to determine the rate of tax due to difficulty in –
- Classifying the Goods (HSN)/Services (SAC)
- Identifying whether any notification is applicable or not
- The proper officer can scrutinize the GST return and related particulars furnished by the registered person to verify the correctness of the return. This is called a scrutiny assessment.
- It is a non-compulsory pre-adjudication process
- The officer will ask for explanations on discrepancies noticed to the taxpayer vide Form GST ASMT-10
- Short payment of Tax, i.e., Diff between GSTR-1 Vs. GSTR-3B
- Excess ITC claimed in GSTR-3B Vs. Auto Populated in GSTR-2A / 2B
- RCM not paid compared with Auto Populated in GSTR- 2A / 2B
- Additional Turnover declared in GSTR-9 but Tax not paid through DRC-03
The assessment u/s 62 will be conducted based on the following.
- Based on the past returns
- Information available with the Department
- Based on the BJA
- Where a taxable person fails to obtain registration even though liable to do so
(OR)
- Where a taxable person fails to obtain registration even though liable to do so
- The proper officer may proceed to assess the tax liability of such taxable person to the Best of his judgment for the relevant Tax period
(AND)
- Issue an assessment order within 5 years from the date specified u/s 44, i.e., Annual Return on or before the 31st Dec following such end of FY.
