Revenue authorities step up efforts to make businesses file GST returns within deadline

As the average of GST returns filed on time remaining just 65 per cent, the revenue department is sending notices to non-filers through emails asking them to submit returns within three days of the expiry of the deadline despite up to 15 days time limit, tax experts said. The due date for filing GST summary returns for a month is 20th day of the subsequent month, but many businesses registered under the Goods and Services Tax (GST) file after the deadline by paying late fee and penalty. 

Tax experts said these emails are automated and system-generated and the time limit given to file returns vary from immediately to three days to 15 days. 

In one such notices being sent to a 'return defaulter' for not filing GSTR-3B or the summary sales returns, revenue authorities asked the taxpayer to furnish the return for a particular month "within three days, failing which the tax liability would be assessed under the GST Act, 2017". 

"In addition to the tax assessed, you will be liable to pay interest and penalty as per provisions of the Act," the notice read. For March, 62.63 per cent of GSTR-3B returns were filed within due date, which had gone up to 69.5 per cent on April 30-- the last date for calculating tax mop up during the month. 

EY India Partner Abhishek  Jain said with the data analytics suggesting non-filing of returns by some percentage of registered taxpayers, the government should inspect the reasons for such default. "The current notices issued to such defaulters being the opening move," he said.