Summons on taxpayers by officials to increase GST collection

MUMBAI: Notices and summons are being issued to businesses and taxpayers for the collection of Goods and Services Tax (GST). Field officers have been issuing summons and notices to taxpayers for the past one month to meet the target of Rs 1 trillion per month, industry sources said.

Businesses are claiming harassment by field officers and withholding of input tax credit, cancellation of GST registration and threats of arrest and massive penalties.

The increase in notices and summons has been brought to the notice of the Revenue Department and the Central Board of Indirect Taxes and Customs (CBDT), a company executive said.

The process of calling taxpayers in person and recording their statements is lengthy and tedious, and kills the very purpose of GST, the executives claimed.

"We only send notices or summons when there is a gap in the input tax credit in the system or there is a suspicion of tax evasion by the taxpayer," a tax official said.

Another taxpayer claimed that the officers called us to the office and forced us to pay the tax immediately.