GST Review Services
GST Compliance Review
GST is still a nascent law in India. Since its inception, there has been frequent changes not only in rates, but also in various legislative provisions and procedures. We provide assistance in ensuring compliance by conducting GST compliance review on periodical basis covering all functions having impact in GST. This could include sales, procurements, inventory, finance etc. Such review would also be helpful for GST annual audit which is mandatory as per GST provisions for assesses with turnover of more than Rs.2 crore in a financial year. Periodical review could help the organization to ensure compliance, take benefits of credits, update with changes in rate of taxes et. Broadly, this would cover the following:
- Review of GST outward supplies, tax rates applied, concessions, exemptions claimed, fulfillment of related conditions, export benefits claimed etc.
- Review of GST input tax credits claimed to assess eligibility, ineligibility, completeness, documentation for credits, transitional credits carry forward etc.
- Review of procedural compliances including GST registrations obtained, payment of taxes, filing of returns, disclosure of ITC & outward supplies in returns, movement of goods for job work, carry forward of credits etc.
- Review of reverse charge compliance by reviewing the expense ledgers on sampling basis, payments made, availment of re-credit after payment, eligibility of such credits, rate and abatements if any claimed including documentation.
- Review of Accounts & Records to be maintained as required under GST Law.
GST Review before Departmental Audit:
Departmental audit is undertaken to gauge revenue leakage. This may ultimately culminate into litigation proceeding against the assessees. The cost of such unearthing is very high especially due to higher rate of interest and imposition of penalty upto 100%. With our experience, we know the possible target areas of department and methodology adopted for audit. We carry out the review before department officers come to your office and highlight areas which need immediate actions to minimise/avoid the risk of possible future litigation.
Section 35(5) of CGST Act 2017 read with Rule 80(3) requires a registered taxable person with turnover of more than Rs.2 crore in a year to get his books of account audited by a chartered accountant or cost accountant.
GST Audit would cover following aspects
- Review of outward supplies declared in return to ensure that it included all outward supplies made
- Review of inward supplies declared in return to ensure that it included all inward supplies made
- Review of all deductions claimed including sales returns, abatements, exemptions
- Review of classification, rate of goods according to provisions of GST
- Assessment of registrations obtained
- Review of input tax credits claimed on inputs, input services and capital goods.
- Review of reconciliation statements are to be filed along with GST audit report.
- Conducting audit in accordance with all other requirements as per GST Act