GST Council recommended an Amnesty Scheme for the non-filers of GST returns and the Government brought it to vide No.19 of 2021 dated-01/06/2021 extending a one-time opportunity to file the pending returns for the period July’2017 to April’2021 by 31/08/2021 on GST portal. Regarding this scheme, Shri Sanjay Kaul, Chairman, Banking and Taxation Committee of IIA and Past President of IIA recommended the various facts and suggestions on the challenges & problems that come forward before the taxpayers to the Hon’ble Finance Minister Smt. Nirmala Sitharaman on 25th August 2021.
Recommended Facts and Suggestions are as follows-
- That the said Scheme approved by the GST Council is going to be expired on 31 of August 2021, but many Taxpayers could not avail the benefit of the aforesaid scheme because their Certificates of Registration were cancelled long back due to non-filing of returns for consecutive periods of six months.
- That those Taxpayers have been carrying on their business as before but unable to pay to the Government exchequer as their certificates of registration have been cancelled.
- That even though those Taxpayers now want to purchase goods from outside the State through e-waybills, deposit GST liability as before and avail the benefit in the above Amnesty Scheme, but it is not at all possible because their certificates of registration are not in force as on date.
- That the Taxpayers after the cancellation of certificates of registration could not file an application for revocation within 90 days’ time allowed under the statute.
- That it is most humbly suggested to call for the data from the jurisdictional authorities under your control about the cancellation of registration certificates of the Taxpayers to ascertain the number of cancellations of Registration across the State.
- That from the ascertained figures your Honour would arrive at a reasonable conclusion that the non-filers for whom the above Notification dated-01/06/2021 was issued by the Government, most of the non-filers are not be able to avail the benefit of the said Amnesty Scheme by 31 of August 2021.
- That we wouldn’t request your Honour to write a letter to the GST Council or the appropriate authority for extension of the due date in availing the benefit of the above Amnesty Scheme but certainly remind you that a sizable number of Taxpayers would be deprived of taking benefit of the said scheme of the Government due to time constraint in the disposal of the applications by Appellate Authorities.
- That ultimately the Government is going to lose a good amount of revenue in form of GST liabilities and late filing fees.
- That the Taxpayers would be able to carry on their business otherwise, which will lead to the generation of huge black money in the country.
- That when the certificates of registration would be restored the Taxpayers then only be in a position to file the pending returns with payment of GST liabilities and towards late filing fee as prescribed in the said Amnesty Scheme Notification and come to the mainstream.
- That the Government might be getting a good amount of revenue from the Corporate Sectors, but the small Taxpayers are like a drop of water that would flow through canals and rivers to reach the ocean.
- That it is entirely left to the wisdom of the CGST authorities, the Government of India / CT and GST authorities of the Government of Odisha to do the needful at an early date to save the non-filers / Taxpayers, those who would not be able to take the advantage of the Amnesty Scheme as approved by the GST Council and the Government Notification dated-01/06/2021 due to the procedural constraints and this is going to affect the employment and economy of the country at large.