Currently working on an Income Tax notice where it is stated that income has “escaped assessment” based on: • Cash deposits in bank 💰 • Turnover reported in GSTR-1 📄 • Turnover reported in GSTR-3B All three figures were treated separately and added together to conclude that income had escaped assessment. But a simple question arises: Are these really different incomes… or the same business turnover appearing in different reports? In many practical cases, bank deposits and GST turnover are already part of the same transactions recorded in books and reported in returns. Technology-driven verification by the department is definitely a welcome step 👍 However, sometimes numbers are compared before they are connected. When figures are linked properly, what appears like “escaped income” often turns out to be “already reported income” 🙂 A small reconciliation between books, GST returns and bank statements can avoid unnecessary notices and save valuable time for both taxpayers and authorities. Hopefully, as systems become smarter, assessments will focus more on understanding transactions rather than just matching numbers 🔍
Update
📢 **GST UPDATE – IMPORTANT COMPLIANCE CHANGES** GST compli
📢 **GST UPDATE – IMPORTANT COMPLIANCE CHANGES** GST compliance continues to become more technology-driven, with increased focus on authentication, return filing discipline, ITC reconciliation, data analytics and monitoring of non-genuine transactions. 🔹 **Key areas taxpayers should watch:** • E-way bill authentication requirements • Time limits for filing GST returns • GSTR-2B/ITC reconciliation • GST scrutiny and departmental verification • DRC-03 payments and demand compliance • Monitoring of fake/non-genuine invoices • Export refund documentation and verification • Increasing use of technology and data analytics by the GST department ⚠️ **Important:** Applicability of a particular provision depends on the taxpayer, transaction and relevant notification/circular. Stay updated. Stay compliant. M/s. PURVANG DOSHI & ASSOCIATE Chartered Accountants | Mehsana, Gujarat #GST #GSTUpdate #GSTCompliance #InputTaxCredit #GSTAudit #GSTNotice #Taxation #CharteredAccountant
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