Tax Department to Conduct Consultation Prior to Issuance of Show-Cause Notices to Evaders and Assesses of GST
The process will involve tax authorities holding talks with assessees on the tax demand raised by them and how it could be settled. All clarifications regarding the unsettled tax demand will be provided and all effort made to settle the issue before a show-cause notice is issued.
New Delhi, December 13: The Tax Department will actively conduct consultation prior to issuance of show-cause notices to evaders and assesses of GST so as to facilitate easier resolution of tax disputes and prevent increasing number of litigation.
The Central Board of Indirect Taxes and Customs (CBIC) has clarified that such consultations with assessed, prior to issuance of show-cause notice (SCN) in case of demands of duty is above Rs 50 lakh (except for preventive/offence related SCNs), is mandatory and shall be done by the SCN-issuing authority. RTGS Facility, Used for Large Value Transactions, to Become Operational 24X7 From December 14, Says RBI Governor Shaktikanta Das.
The process will involve tax authorities holding talks with assessees on the tax demand raised by them and how it could be settled. All clarifications regarding the unsettled tax demand will be provided and all effort made to settle the issue before a show-cause notice is issued.
The consultation procuess will be followed in cases of adjudication of demands of duty/tax or recovery of CENVAT Credit by different authorities.
The adjudicating authority in the cases will be Additional Commissioner/Joint Commissioner-level officers for cases involving duty/tax or recovery of CENVAT Credit of above Rs 50 lakh but not exceeding Rs 2 crore. Cases involving duty/tax or recovery of CENVAT Credit above Rs 2 crore are to be adjudicated by the Commissioner. India’s First Solar-Powered Miniature Train Opens for Tourists at Veli in Kerala’s Thiruvananthapuram; Watch Video.
The CBIC said that with changes in monetary limits of adjudication and to lend clarity on this issue, it is hereby clarified that "pre show-cause notice consultation with assessee, prior to issuance of SCN in case of demands of duty is above Rs 50 lakh shall be done by the SCN-issuing authority".
(The above story first appeared on LatestLY on Dec 13, 2020 03:31 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).