GST AUDIT U/S 65 AND SHOW CAUSE U/S 73

[BARUN MUKHERJEE]

Respected Sir,

Department has already conducted GST Audit u/s 65 and ADT-2 was issued accordingly for the F.Y. 2018-19 to 21-22. As per audit observation the taxpayer has already paid the tax along with applicable interest and penalty. Now Jurisdiction office has sent show cause notice u/s 73 for the F.Y. 2020-21. Is there any provision or notification by which proceeding u/s 73 can be dropped.

AI Summary

Taxpayer Challenges Show Cause Notice Issued Under Section 73 After Paying GST Dues; Questions Procedural Duplications A taxpayer underwent a GST audit under Section 65 for the fiscal years 2018-19 to 2021-22 and paid the due tax, interest, and penalty. Despite this, a show cause notice (SCN) under Section 73 was issued for the fiscal year 2020-21. A participant questioned the necessity of the SCN since the tax was paid before its issuance, noting that Section 73(8) does not require a penalty if payment is made timely. The discussion also highlighted potential procedural duplications and the possibility of invoking Sections 73 or 74 for unresolved issues post-audit. Participants advised contesting the penalty in the SCN response.