The 2nd National GST Conference of the Commissioners of State Tax and Chief Commissioners of Central Tax was held on January 7th, 2020 under the chairmanship of Dr Ajay Bhushan Pandey, Revenue Secretary, Ministry of Finance.
The multi-faceted Conference was focused on brainstorming session for streamlining Goods and Services Tax (GST) system and plugging revenue leakages.
After the day-long in-depth deliberations, some of the important measures decided for necessary action were as follows –
- All major cases of fake Input Tax Credit, export/import fraud and fraudulent refunds shall also be compulsorily investigated by investigation wing of the Income Tax Department.
- Considering fraudulent IGST refund claims, it was explored to link foreign exchange remittances with IGST refund for risky and new exporter.
- MoU would be signed among CBDT, CBIC and GSTN to exchange data through API, from CBDT to GSTN and CBIC and vice-versa. It was decided that this data should be shared on quarterly basis, instead of being shared on yearly basis.
- To explore access to banking transactions including the bank account details by GST system, in consultation with RBI and NPCI. Suggestions were also received to make GST system aligned with FIU for the purpose of getting bank account details and transactions and also PAN based banking transaction.
- To share data of cases involving evasion and fraudulent refund detected by CBIC with CBDT and vice versa, so that proper profiling of these fraudsters could also be done.
- To undertake verification of unmatched Input Tax Credit availed by taxpayers.
- To constitute a Committee of Centre and State officers to examine and implement quick measures in a given time frame to curb fraudulent refund claims including the inverted tax structure refund claims and evasion of GST. The Committee will come out with detailed SoP within a week, which may be implemented across the country by January end.
Complete Press Release can be accessed: https://pib.gov.in/PressReleseDetail.aspx?PRID=1598653