Updates in GST Audit
The government introduced two eagerly-awaited Goods and Services Tax compliance forms in September: GST Annual Return (GSTR-9) and GST Audit (GSTR-9C) as an updates is GST Audit. For the 2017-18 financial year, both are due on Dec. 31, 2018.
The concept of an audit by professional accountants is not new to Indian indirect tax laws. Under the erstwhile regime too, state-level value-added tax laws required the submission of a chartered accountant-certified VAT audit report at the end of each financial year, within the prescribed timelines. Such audit compliances were introduced in VAT laws. As a step that would aid tax officers in expediting their verification process. With similar intent and as a measure to aid stronger tax governance, under the GST regime as well, the government has kept alive the concept of audit by professional accountants, which would be in addition to the routine statutory and tax audits. Such audits, though based on foundations similar to erstwhile the VAT audits, are more diverse and distinctive than the earlier process.
With close to 1.14 crore registered GST taxpayers and only 1.33 lakh practicing chartered accountants
This is assuming all taxpayers would be eligible for GST audit.
In the first year of GST audit, it is very important for a taxpayer to be aware of the nuances of this new compliance system.
Journalists use the ‘Five Ws and How’ questions to gather information on a story. Taxpayers need to do the same to comply with the GST audit process.