TaxTMI 
TaxTMI 
TaxTMI 
sale turnover short fall reasons asked by gst department
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....ale turnover short fall reasons asked by gst department <br> Query (Issue) Started By: - Sundaraiah kollipara Dated:- 9-6-2025 Goods and Services Tax - GST <br> Got 4 Replies <br> GST<br> <br> Sir, GST registered dealer business principal place visit GST officer sales turnover compared 23-24 vs 24-25 Sales turnover fy.23-24 rs:40 lacs show in GSTR-3B october-23 to December -23 quarter Sales turnov....
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....er f.y.24-25 rs:30 lacs show in GSTR-3B october-24 to december-24 quarter GST officer sales turnover two years (23-24 vs 24-25) falls reason asked Question: GST officer visit business principal place sales turnover falls reason asked provision under GST act --Reply By: Ganeshan Kalyani The Reply: You may provide the reason for the low sales which may be low demand for your product or competitio....
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....n in the market etc. --Reply By: YAGAY andSUN The Reply: If a GST officer visits the principal place of business and questions the drop in sales turnover between two financial years (FY 2023-24 vs FY 2024-25), and asks for the reason for the fall, this is typically part of their verification and compliance procedures under the GST law. Relevant Provision under GST Law The GST officers authori....
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....ty to inspect, verify, or seek clarification is governed under: 1. Section 71 of the CGST Act, 2017 - Access to Business Premises This section empowers the proper officer to enter any place of business of the registered person to inspect books, documents, computers, or other devices maintained in relation to the supply of goods or services. Purpose: To verify correctness of returns, detect tax eva....
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....sion, or ensure compliance. 2. Section 61 - Scrutiny of Returns If the turnover shown in GSTR-3B is lower compared to the previous year, the officer may: * Scrutinize the returns under Section 61. * Issue a notice in FORM GST ASMT-10 asking for explanation of discrepancies. 3. Rule 5 of CGST Rules - Visit to Business Premises Rule 5 mentions that any officer authorized by the Commissioner may vi....
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....sit the place of business of a registered person to verify the correctness of details furnished at the time of registration or during business operations. Possible Reasons to Provide (If Asked): If the officer asks for reasons for fall in turnover, some valid business explanations may include: * Seasonal business fluctuation * Change in market demand * Business restructuring or downsizing * Re....
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....duced orders/sales * Economic slowdown or local disruption * Health issues, family emergencies affecting operations * Competition or pricing impact * Loss of key customer(s) * Natural calamities, pandemic impact Important Points: * Keep proper records to justify the drop (e.g., sales register, contracts, bank statements, invoices). * Cooperate professionally with the officer during the visi....
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....t. * If you receive any notice (like ASMT-10), reply in ASMT-11 within the timeline (usually 30 days). --Reply By: Sadanand Bulbule The Reply: Such periodical visits/enquires are administrative in nautre to asceratin the consequential fall in revenue as well. --Reply By: Shilpi Jain The Reply: Is this not part of the department audit? Generally informatoin can be asked by depar....
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....tment though ensure it is through proper official channels - lettter/mail from official mail id etc. You should also reply through official channels. Do not keep anything oral. <br>***<br> Discussion Forum - Knowledge Sharing....