CBIC amended CGST Rules making it optional for the proper officer to communicate the liability before issuing SCN under Section 73/74 of the CGST Act

CBIC amended CGST Rules making it optional for the proper officer to communicate the liability before issuing SCN under Section 73/74 of the

A2ZBimal Jain

Oct 19, 2020

Last update on Oct 19, 2020

CBIC amended CGST Rules making it optional for the proper officer to communicate the liability before issuing SCN under Section 73/74 of the CGST Act The CBIC vide Notification No. 79/2020- Central Tax dated October 15, 2020 amended Rule 142(1A) of the Central Goods and Services Tax Rules, 2017 (“CGST Rules”) in following manner making it optional for the proper officer to communicate the details of any tax, interest and penalty in Form GST DRC-01A before issuing notice under Section 73(1) and 74(1) of the Central Goods and Services Tax Act, 2017 (“CGST Act”):

a. Substituted words “proper officer shall” with “the proper officer may” b. Substituted words “shall communicate” with “communicate”

Now, Rule 142(1A) reads as under:

“(1A) The proper officer may, before service of notice to the person chargeable with tax, interest and penalty, under sub-section (1) of Section 73 or sub-section (1) of Section 74, as the case may be, communicate the details of any tax, interest and penalty as ascertained by the said officer, in Part A of FORM GST DRC-01A.”

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About Author

A2ZBimal Jain

Chartered Accountant

CA Bimal Jain is a Member of Institute of Chartered Accountants of India since May 1994 and Member of Institute of Company Secretaries of India since December 2006 along with a Bachelors degree in Law. Also, he is a Qualified SAP - FI/CO Consultant and has more than 21 years of experience in Indirect Taxation and specializes in all aspects of Service Tax, Value Added Tax (VAT)/ Central Sales Tax (CST), Central Excise, Customs, Foreign Trade Policy (FTP), Special Economic Zone (SEZ), Export Oriented Unit (EOU), Export-Import Laws and well acquainted with the concept and impact of way forward Goods and Services tax (GST).