Return discrepancy in GST triggers mandatory online explanation; taxpayers must respond to DRC-01B via specified form.
Taxpayers must explain material differences between liabilities declared in GSTR 1/IFF and liabilities paid in GSTR 3B/3BQ when the GSTN's automated comparison triggers a DRC 01B intimation due to predefined absolute or percentage thresholds; the required response is to be filed in Form DRC 01B Part B using an automated dropdown for reasons and providing further details when necessary, with a detailed portal manual available for navigation and scenario guidance.

Fake GST registrations exposed as sold shell firms enabling ineligible input tax credit, triggering criminal prosecution and investigation.
A scheme created over thirty fraudulent GST registrations at one address with no genuine business activity; the operator procured KYC details by promising loans, used Aadhaar authentication to evade physical verification, sold shell firms for cash, and enabled the claim and passing-on of ineligible Input Tax Credit, constituting a criminal offence under GST law, with the suspect arrested and remanded to judicial custody.

Fraudulent input tax credit schemes disrupted after data-led probe; mastermind arrested and linked bank accounts attached.
DGGI, Jaipur disrupted an interstate syndicate operating 569 fake GST-registered firms that issued fraudulent input tax credit through fabricated invoices to over 2,000 beneficiary firms. The syndicate used brokers to register firms on GSTN with vulnerable persons' identities, procure bank accounts and SIM cards, and manage transfers; 73 bank accounts were attached. The alleged mastermind was arrested after data-analytic investigation and remanded to judicial custody. The action forms part of sustained enforcement by the Jaipur unit against fake ITC syndicates, with ongoing prosecutions and revenue recovery efforts.

Fraudulent Input Tax Credit schemes using fake registrations and invoices exposed, triggering enforcement action and recoveries.
Investigation uncovered large-scale Input Tax Credit (ITC) fraud using forged identity documents, fake GST registrations and sham invoices to create and circulate fraudulent ITC, with credits channelled into high-risk sectors. Enforcement prevented utilisation of substantial fraudulent ITC and effected recoveries; arrests of key operatives were made. A described modus operandi in the mobile-phone trade shows goods acquired without legitimate invoices are routed through networks of sham firms to generate false ITC and evade GST liabilities.

e Invoicing threshold change enables eligible taxpayers for e invoice reporting setup and urges compliance preparedness.
The advisory states that GSTN has auto enabled taxpayers meeting the revised Aggregate Annual Turnover criterion on IRP portals for e Invoice reporting while clarifying that portal enablement is administrative and taxpayers must verify whether notification conditions create a legal obligation to generate an Invoice Reference Number; taxpayers may self enable if not auto enabled and are urged to use sandbox testing to prepare for compliance.

Fraudulent input tax credit scheme using shell entities detected, arrests made and seizures followed after digital forensic analysis
Forensic analysis of seized digital devices and documents uncovered creation and operation of a network of shell entities using forged identity and business records to generate and transfer fraudulent Input Tax Credit, tracing the illegitimate credit flows into the metal/iron and steel sector and prompting arrests and an ongoing criminal investigation.

2-Factor Authentication mandatory for high-turnover taxpayers, requiring OTP login for e-Way Bill and e-Invoice access.
2 Factor Authentication is mandated for taxpayers above the high turnover threshold from 15 July 2023 for e Way Bill and e Invoice access; login requires username, password and an OTP delivered via SMS, the Sandes app, or the NIC GST Shield app. Registration is done through Main Menu 2 Factor Authentication and OTP authentication is applied at individual user account level, including sub users, and once registered applies to both systems.

E-Invoice verification enables QR code authentication and non-login public access to validate reported invoice data across IRPs.
The Advisory announces deployment of the E-Invoice Verifier App to enable public authentication of e-invoices by scanning QR codes. The app performs QR code verification of embedded invoice data, provides non-login anonymous access for read-only verification, and supports invoices reported through all six IRPs. The Android app is available with an iOS version forthcoming, an in-app FAQ offers guidance, and a future version will add Search IRN lookup functionality to streamline invoice verification.

GST revenue growth continues, with collections rising and IGST transfers settling Centre State shares for the month.
Monthly Goods and Services Tax (GST) collection for May 2023 recorded gross receipts of Rs.1,57,090 crore with 12% year on year growth. Receipts are broken down into CGST, SGST, IGST (including imports) and cess; import of goods and domestic transactions rose by 12% and 11% respectively. Specified IGST transfers to CGST and SGST produced post settlement Centre and State totals. A state wise comparison of May 2023 versus May 2022 collections is included, showing varied growth across jurisdictions.