The government has announced a change in the Finance Act from January 2022 to allow GST officials to conduct surprise inspections of businesses without any prior notice and inspect the two types of accounts they file.
Coimbatore: Businesses doing business worth Rs 5 crore annually and above every month GSTR-1 and GSTR-3B are currently filing two types of accounting documents on a monthly basis under the GST scheme.
The government has announced a change in the Finance Act from January 2022 to allow GST officials to conduct surprise inspections of businesses without any prior notice and inspect the two types of accounts they file, and to take immediate drastic action in case of any errors.
The industry has protested against a similar project called 'Inspector Raj' which conducts field research. The industry has lamented that the GST office should only check documents online and that if officials are allowed to conduct field inspections they are more likely to be misused and thus face various problems.
Ramesh Babu, president of the Coimbatore District Small Industries Association (CODISSIA), said, "When such a scheme is implemented, honest entrepreneurs will be greatly disturbed. Such a scheme would further increase the burden on the industry which is already facing various problems.”
Karthik, president of the South Indian Association of Engineering Manufacturers (SIEMA), said, "The re-implementation of a project like 'Inspector Raj' in such a scenario where Indian businesses around the world are moving to the next level would be a major setback for business growth. If they have any doubts they can check them online and call any concerned entrepreneur and ask for explanation.
The fact of the matter is that allowing the authorities to conduct field inspections can lead to various abuses. Such a scheme would be a new headache for the industry, which is already suffering from a variety of problems, including rising raw material prices. "
The government has announced a change in the Finance Act from January 2022 to allow GST officials to conduct surprise inspections of businesses without any prior notice and inspect the two types of accounts they file, and to take immediate drastic action in case of any errors.
The industry has protested against a similar project called 'Inspector Raj' which conducts field research. The industry has lamented that the GST office should only check documents online and that if officials are allowed to conduct field inspections they are more likely to be misused and thus face various problems.
Ramesh Babu, president of the Coimbatore District Small Industries Association (CODISSIA), said, "When such a scheme is implemented, honest entrepreneurs will be greatly disturbed. Such a scheme would further increase the burden on the industry which is already facing various problems.”
Karthik, president of the South Indian Association of Engineering Manufacturers (SIEMA), said, "The re-implementation of a project like 'Inspector Raj' in such a scenario where Indian businesses around the world are moving to the next level would be a major setback for business growth. If they have any doubts they can check them online and call any concerned entrepreneur and ask for explanation.
The fact of the matter is that allowing the authorities to conduct field inspections can lead to various abuses. Such a scheme would be a new headache for the industry, which is already suffering from a variety of problems, including rising raw material prices. "