Gautam Buddha is reported to have said that life is like the harp string, if it is strung too tight it won’t play, if it is too lose it hangs, the tension that produces the beautiful sound lies in the middle. In the matters of administration also, the middle path which prevents the frauds and at the same time does not make the genuine taxpayers as victims is essential.
Vide Notification No. 94/2020 – Central Tax dt. 22.12.2020 effective from 01.01.2021, far-reaching curbs have been put in place to tackle the menace of fake invoicing. We don’t disagree with the intent but then there is also a need to ensure that the wide powers now granted to the officers are not misused. Tightening of the system (to prevent frauds) may lead to the strangling of the genuine taxpayers in absence of specific safeguards to avoid the adverse consequences in situations (such as financial difficulties) which are beyond anyone’s direct control.
Therefore in the present write-up we share the brief of the changes made and the possible suggestions to protect the interest of the genuine taxpayers. Readers may refer our earlier detailed write-up on the changes made or the presentation to understand the legal nuances.
Read more on: https://taxguru.in/goods-and-service-tax/multi-pronged-approach-tackle-menace-fake-invoicing-simultaneous-protect-genuine-taxpayers.html
© 2018 CA Chandan Agarwal. All rights reserved.