CBIC issues Guidelines for  Processing Application for GST Registration

The guidelines for processing applications for Goods and Services Tax Registration have been released by the Central Board of Customs and Indirect Taxes (CBIC) on 14th June 2023.

The board has made the decision to issue suitable recommendations regarding the matter as a result of occurrences of fraudulent people using fake or fictitious registration under the Goods and Services Tax (GST) registration.

The board directed the proper officer to initiate the process of the scrutiny and verification of the details filed by the applicant for the registration in Form GST REG-01 immediately along with the application. Also directed to careful examination of the documents furnished accordingly, as stated in the Form GST REG-01. It was directed to the proper officer to check the completeness of the same and the authenticity of the applicant.

Additionally, stated that special attention needs to be paid to the cases where “High” risk rating has been assigned to an ARN. The proper officer may also check as to whether the registration(s) has been obtained on the same PAN earlier, either within the same State or other State(s).

The proper officer may also give due consideration and special attention to the cases involving inter alia the following circumstances:

1. where any registration obtained on the PAN of the applicant has been cancelled previously;
2. where any registration obtained on the PAN of the applicant is suspended at the time of verification of a new application of registration;
3. whether any application for registration on the PAN of the applicant has been rejected previously;
4. whether the place of business of the applicant appears to be risky based on local risk parameters;
5. whether the proof of address of place(s) of business prima facie appear to be suspicious/ doubtful on the basis of scrutiny of the application and the documents

The board further instructed that the proper officer shall send an electronic notice to the applicant in the Form GST REG-03 within the prescribed time frame if the application is found to be deficient in any way, including in terms of information or any required document, or where he needs clarification regarding any information provided in the application or documents furnished therewith, or in respect of any other fact.

In addition, the appropriate official must carefully review any clarifications, details, or documents submitted by the applicant in response to the notice sent in Form GST REG-03. The grant of registration to the applicant may be approved within the stipulated time frame if the proper official is satisfied with the response provided by the applicant in Form GST REG-04.

If the proper officer discovers that the application either skipped the Aadhaar number authentication process or did not choose to do so, the proper officer must immediately start the process for a physical inspection of the applicant’s place of business.

If there are any problems implementing these instructions, please contact the Board at gst-cbec@gov.in.

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