Is GST Audit Applicable on Turnover Exceeding Rs. 2 Crores

  • May 27, 2020
  • CA Chandan Agarwal's Office

In the present article I am going to discuss the law and procedure of Audit to be conducted by the department and special audit as prescribed under GST law. The concept of Audit is not a new concept, the tax payers are already required to get his books of accounts For Filing GSTR -9 AND GSTR-9C: audited under various law like Income Tax Act, 1961, VAT Act, 2005 and Companies Act, 2013.

INTRODUCTION:

Section 2(13) of the CGST Act, 2017 defines “Audit” means the examination of records, returns and other documents maintained or furnished by the registered person under the GST Acts or the rules made thereunder or under any other law for the time being in force to verify the correctness of turnover declared, taxes paid, refund claimed and input tax credit availed, and to assess his compliance with the provisions of the GST Acts or the rules made thereunder.

A. Need of Audit under GST:

1. That to verify the correctness of turnover declared, taxes paid, refund claimed and input tax credit availed by assessee.

2. That to examine the record of return and other document maintained or furnished by the assessee.

3. That GST is a self assessment based tax, so to keep an eye to prevent the frauds in GST a robust audit mechanism to measure and ensure compliance of the provisions of law by the taxable person.

Read on me: https://taxguru.in/goods-and-service-tax/gst-audit-applicable-turnover-exceeding-rs-2-crores.html

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