Automated GST Return Scrutiny to be Implemented by Next Week, FM issues Directions to CBIC

To improve taxpayer services in India, Finance Minister Nirmala Sitharaman has directed the Central Board of Indirect Taxes & Customs (CBIC) to introduce automated Goods and Services Tax return scrutiny by next week. She has also instructed CBIC to increase the taxpayer base using technology-based solutions and take strict action against fake billing and Input Tax Credit (ITC) fraud.

To help with the crackdown on fraud, the FM has asked CBIC to conduct a comprehensive root cause analysis of cases already booked and provide recommendations for technology-based solutions to prevent future occurrences. Additionally, the FM has stressed the need for continuous improvement of taxpayer services and suggested organizing interactions in each zone with members of trade and industry in the GST ecosystem to identify and systematically address any issues or suggestions they may have.

In terms of grievance redressal, the FM has directed the implementation of a system to take feedback on grievances redressed to improve the quality of redressal.

Automated GST Return Scrutiny is a technology-driven process to be introduced by the Central Board of Indirect Taxes and Customs (CBIC) to review Goods and Services Tax (GST) returns. This process involves the use of Artificial Intelligence (AI) and Machine Learning (ML) algorithms to identify discrepancies, irregularities, or errors in GST returns filed by taxpayers.

The system automates the process of scrutinizing GST returns and generates alerts in cases of non-compliance. This technology-based solution aims to enhance tax compliance, reduce manual intervention, and increase the efficiency of tax administration.

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