Can GST Authorities Demand Full ERP/Tally Backup During Audit u/s 65 ?

[SRINVASAN TR]

When the GST Department initiates an audit under Section 65 of the CGST Act, 2017, can the audit team legally require the taxpayer to provide a complete backup of the ERP/accounting software (e.g., Tally backup) ?

Or is the Department's authority restricted to seeking relevant records/data required for the audit, such as sales, purchases, ITC, ledgers, stock records, etc., which can be provided in PDF/Excel or other readable formats ?

I would also appreciate views on any judicial precedent, circular, or departmental instruction specifically dealing with the power to demand a complete Tally/ERP backup during a Section 65 audit.

AI Summary

Electronic accounting access in GST audits permits relevant record verification, not automatic demands for unrestricted ERP or Tally backups.
GST audit powers permit examination of electronic accounting systems and access-related information where necessary, but are limited to records and information relevant or required for audit verification. A complete unrestricted ERP or Tally backup is not an automatic consequence of audit powers. Any such demand should show necessity, relevance to identified audit issues and nexus with the audit period. Statutory access to electronic systems and relevant records is distinct from unrestricted acquisition of an entire accounting database, especially where detailed books and records have already been furnished.