What if party not submitted required documents to the department

[Rajesh Kumar]

Sir/Madam,

Please share if party not submitted required documents.

1. What actions can department take against the party ?

2. Can department issue SCN without complete information provided by the party.

3. Is any best judgement method available in the GST provisions ?

[GUNASEKARAN K]

Please help us to understand your query.

[KASTURI SETHI]

Dear Sir,

There should be specific query. From the query it appears that these are general questions and tracing out answer in any GST book is not a difficult task.

[Rajesh Kumar]

Sir,
Is there any provisions to issue SCN on the basis of best judgement as was in service tax when party not submitted documents ?

2. If party not submitted documents required for SCN to them , can Department issue SCN on any base or assumptions?

[KASTURI SETHI]

Q. No.1 Is there any provisions to issue SCN on the basis of best judgement as was in service tax when party not submitted documents ?

Ans. The provisions of Section 62 of CGST Act, 2017 are independent of Sections 73 & 74, ibid.

Q.No.2 If party not submitted documents required for SCN to them , can Department issue SCN on any base or assumptions ?

Ans. Only notice is required to be issued under Section 46 of CGST Act read with Rule 68 of CGST Rules.

[Padmanathan KV]

I request the querist to be more specific.

The burden of proof is different for alleging wrong ITC and alleging supply/ classification etc.

In case of later, the burden of proof is on the department to prove supply has in fact taken place. In case of former, the burden of proof is on assessee. Thus nature of evidence required for department is also different.

Unless the specific fact is presented, no foolproof answer can be given by experts.
 

AI Summary

Notice requirement: tax authorities may issue procedural notices when taxpayers fail to submit documents, with burden of proof varying.
When a person does not supply required documents, authorities should proceed by issuing notices under the prescribed notice framework rather than treating best judgement assessment as a substitute; issuance of a show cause notice can occur without all documents but must follow the statutory notice procedure. The evidential burden varies by issue: taxpayers must substantiate input tax credit claims, while the department must prove that a supply occurred or its classification.