AVOID TAKING SERVICES OF GST@99/- or GST@99/
Yesterday I saw a poster on a pillar right outside my house which says “GST at Rs 99. Call XXXXX “. I was shocked and thought, it is not some Chinese product which you are selling at the lowest price, it is a matter of tax and compliance which is a law that professionals such as Chartered Accountants, GST certified experts can deal well with.
I felt it is very important that we deliver the message to businesses that might fall in the trap of unskilled GST service providers and that’s how I planned to write a small article.
With the launch of Goods & services tax (GST) in the second half of the year 2017, the confusion arose among the indirect tax professionals regarding GST registration, GST returns & Annual GST filing, etc. However, from 2018 there is an increase in the number of GST practitioners in the market who are providing GST registration service at a lower price as compared to some highly experienced GST professionals.
Don’t fall in the trap of these GST fraudsters who are offering the GST@ 99/- or 199/-. But there is a huge difference in the services being offered by both of them.
· Less experience of Indirect taxation
· Low on professionalism
· Lack of analytical skills
· No national/international exposure
These fraudsters are using some loopholes and the technicalities involved in the GST to their advantage.
What went wrong for one of the biggest indirect tax reforms in Indian history?
· Technology failure: Technology that was made to root out the tax evasion did not live up to the expectations. Electronically generated forms which were meant to match invoices and weed out of fake invoices was itself compromised.
· Tax evasion: Since the launch of GST, various instances have come to the limelight where some ingenious methods for GST evasion are being used. Tax authorities are continuously taking every step to weed out such activities.
· Loopholes in GST: Taking the cognizance and the seriousness of the matter, the apex governing body GST council has recommended that every tax payer must prepare form-3B which helped in getting away with the need of matching invoices.
· Mushrooming of fake firms: since the rollout of GST across India, CBIC has come up with different modus operandi which is used by GST fraudsters and preparing fake firms and invoices is one of them.
How to avoid GST frauds?
You can do some online research, go meet tax consultants such as Chartered Accountants near you, check reviews of GST service providers online and do not fall prey to those offering GST services at a lower price. Before hiring, have a good conversation with your Chartered Accountant and be smart about what future compliances are, what are the fines and penalties that may occur and ways to prevent them. Some best known online service providers in India currently are:
Ø India filings
If you don’t want to fall prey to these GST fraudsters then choose a professional who has a very clear intention and will not hurt your business. This will improve your business life cycle with minimal intervention from the tax authorities. A list of some reliable sources from where you can take the GST registration services is mentioned above.