ॐ असतो मा सद्गमय
Yes. In terms of Section 122(2), the non-payment of tax or short payment of tax or erroneous refund without intention to evade (i.e. not involving fraud or any wilful misstatement or suppression of facts to evade tax) would attract a penalty of ` 10,000/- or 10% of the tax due, whichever is higher.
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 6)
` 10,000/- or an amount equivalent to the tax evaded or the tax not deducted or short deducted or deducted but not paid to the Government or tax not collected under section 52 or short collected or collected but not paid to the Government or input tax credit availed of or passed on or distributed irregularly, or the refund claimed fraudulently, as the case may be, whichever is higher.
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 5)
The other activities which would be considered to be offences attracting penalty are as under:
(a) failure to deduct tax in terms of provisions of Section 51 or short deduction of tax or failure to remit tax so deducted (b) failure to collect tax by an E commerce operator in terms of Section 52 or short collection of tax or failure to remit tax so collected within
(c) taking or availment (or both) of input tax credit without actual receipt of goods or services in violation of the provisions
(d) fraudulently obtaining refund of any CGST/SGST under this Act
(e) takes or distributes input tax credit in violation of section 20, or the rules made there under;
(f) falsifies or substitutes financial records or produces fake accounts and/or
documents or furnishes any false information or return with an intention to evade payment of tax due under this Act;
(g) failure to obtain registration even though liable to registration;
(h) furnishing of any false information with regard to registration particulars, either at the time of applying for registration, or subsequently;
(i) Obstruction or prevention of any officer in discharge of his duties under the GST provisions;
(j) Transports any taxable goods without the cover of documents as may be
specified;
(k) Suppression of turnover leading to evasion of tax under this Act;
(l) Failure to keep, maintain or retain books of account and other documents in
accordance with the provisions of this Act or the rules made thereunder;
(m) Failure to furnish information and/or documents called for by a CGST/SGST officer in accordance with the provisions of this Act or rules made there under or furnishes false information and/or documents during any proceedings under this Act;
(n) supplies, transports or stores any goods which he has reason to believe are liable to confiscation under this Act;
(o) issues any invoice or document by using the identification number of another taxable person;
(p) tampers with, or destroys any material evidence;
(q) disposes off or tampers with any goods that have been detained, seized, or
attached under this Act
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 4)
Yes, in terms of Section 122(1) (iv) of the CGST Act, 2017, collection of tax in
contravention to the provisions of the CGST Act, 2017 and subsequent failure to remit the same to the credit of the Government beyond a period of 3 months from the date on which such payment becomes due is an offence attracting penalty of ` 10,000/- or amount equal to the amount of tax so collected, whichever is higher. Further, in terms of Section 132(1) (d) read with Section 132(1) (I) of the CGST Act, 2017, the said offence attracts imprisonment which may extend from 1year to 5 years based on the quantum of tax evasion.
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 3)
Collection of tax and non-remittance of the same within 3 months to the Government from the due date for remittance is considered to be an offence under Section 122(1)(iii) of the CGST Act, 2017 attracting penalty of an amount equal to the tax so collected or an ` 10,000/- whichever is higher
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 2)
Yes, in terms of Section 122(1)(i) of the CGST Act, 2017 the above supply of goods and services will be considered to be offence attracting penalty of ten thousand rupees or an amount equivalent to the tax evaded, whichever is higher.
(ICAI FAQ PUBLICATIONS 06-09-2017 Penalty for certain offences: FAQ NO. 1)