GST Inspection Powers Quiz

Power of Inspection

• A GST officer not below the rank of Joint Commissioner can authorize an officer to inspect a taxable person's business premises at any time with written permission.
• The authorized officer can inspect the business place, goods, and supplies, and transport.
• The officer must have written authorization from an officer not below the rank of Joint Commissioner.

Power of Search and Seizure

• A GST officer not below the rank of Joint Commissioner has the power to search and seize goods, documents, or information if they believe they are hidden or not disclosed.
• The officer can authorize another officer to search and seize goods, documents, and information at any place.
• Search and seizure can only be carried out by an officer with authorization from an officer not below the rank of Joint Commissioner.

Power to Arrest

• A GST officer can arrest a person who does not follow the rules of the law or commits an offence.
• The Commissioner can authorize an officer to arrest a person if they believe they have committed an offence punishable under the CGST Act.
• The arrested person must be informed of the grounds of arrest and produced before a magistrate within 24 hours.

Power to Summon Persons to Give Evidence and Produce Documents

• The Commissioner can authorize an officer to summon a person to give evidence or produce a document or any other thing in any proceedings or inquiry.
• The officer can summon any person whose attendance is necessary for the purposes of this Act.

Power to Access Business Premises

• A GST officer authorized by the Additional/Joint Commissioner can access any place of business of a registered taxable person.
• The officer can inspect books of accounts, computers, documents, computer programs or software, and other necessary things.
• This power is used to carry out audits, scrutiny, and checks to protect revenue interest.

Revisional Powers

• The Chief Commissioner or Commissioner can call for and examine the record of any proceeding on their own initiative or upon receiving information.
• If they find any decision or order passed under this Act by a subordinate officer to be erroneous, they can pass an order of inquiry or modify/revise the decision or orders.
• However, an opportunity to be heard will be given to the taxpayer before taking any action.

Power to Enable Officers to Implement the Law

• GST officers have various powers to implement the law and reduce tax evasion.
• However, these powers can be misused, and absolute power can corrupt.

Power to Impose a Penalty

• If a GST officer believes a person is liable to a penalty, they can issue an order levying a penalty after giving the person an opportunity to be heard.
• This is applicable if the penalty is not covered by Sections 62, 63, 64, 73, 74, 129, and 130 of the Act.

Power to Collect Statistics

• A GST officer authorized by the Commissioner can collect data if necessary for the administration of the Act.
• The authorized officer can call upon taxpayers to furnish all necessary information.