[ad_1]
The Goods and Services Tax Network (GSTN) has issued an advisory addressing concerns about the validity of tax documents—such as Show Cause Notices (SCNs) and Orders—generated through its common portal.
This advisory comes in response to growing doubts regarding documents that lack visible digital signatures in their downloadable PDF formats, which have been legally challenged by some taxpayers.
Implications of the AdvisoryThe advisory asserts that all documents issued by tax officers are valid, even if they do not display a physical digital signature. According to the GSTN, these documents are generated through the secure login of officers who authenticate their access using Digital Signature Certificates (DSC). This process ensures that the documents are legitimate, as all relevant details are stored securely in the system, even if the signature does not appear on the document itself.Parag Mehta, a partner at N.A. Shah Associates LLP, stated, “On the GSTN portal, many times the authenticity of communications was in doubt or legally challenged due to missing signatures. This advisory clarifies that all communications are authentic, and the relevant details are securely stored in JSON format.”
Aditya Singhania, founder of Singhania’s GST Consultancy, emphasised the legal requirements, noting, “Rule 26 of the Goods and Services Tax Rules mandates digital signatures for all official communications. While this advisory reassures us that documents generated on the portal are valid, we still need clearer guidelines under Rule 26(3) to avoid further litigation.”
How Taxpayers Should RespondGiven this clarification, taxpayers are encouraged to actively verify the authenticity of any documents received via the GST portal. The advisory highlights that verification can be done both pre-login and post-login through the GST portal, ensuring that taxpayers can confirm the legitimacy of communications at their convenience.
Rajat Mohan, Executive Director at MOORE Singhi, said, “The latest guidance from GSTN is a significant step in addressing the concerns surrounding the validity of notices and orders. Taxpayers should feel more secure knowing that they can verify the authenticity of documents issued through the GST portal. This transparency is essential for maintaining trust in the system.”
Expert Advice for TaxpayersExperts advise that taxpayers remain vigilant and utilise the verification tools provided on the GST portal to confirm the status of any documents they receive. “Taxpayers should make it a habit to verify their documents immediately upon receipt,” Singhania added. “This proactive approach will help them avoid any potential disputes down the line.”
They recommend keeping detailed records of all communications and, in cases of doubt, consulting with a tax professional to understand the implications of the advisory. Mehta said, “In light of the advisory, it’s crucial for taxpayers to familiarize themselves with the verification process and ensure they are aware of any updates to the rules that govern these communications.”
Moving forward, industry leaders advocate for further clarity in regulatory frameworks to prevent ambiguities that could lead to legal disputes. Mehta concluded, “With a clearer understanding of the process, we can avoid room for litigation and facilitate smoother procedural implementation of the law. This will ultimately benefit both taxpayers and tax authorities.”
Overall, the expert said that advisory aims to bolster the credibility of the Goods and Services Tax framework, reassuring stakeholders that their rights and interests are protected, even in the absence of visible signatures on tax documents. By fostering transparency and trust, the GSTN is taking crucial steps toward a more efficient and reliable tax system.
[ad_2]
Source link
