Disaster Management - instructions to officers - GST - States - Disaster Management — Instructions to officers

Deputy Commissioner, SGST, Mattancherry, Kerala Advisory, dated, 21-8-2018 Subject : Disaster Management - instructions to officers - Regarding. The devastating flood has badly affected business community as well. Large scale damage of goods has been reported from all parts of Mattancherry. The situation may not be different in other districts also. As per section 17(5)(h) input tax credit shall not be available in respect of goods lost, stolen, distroyed written off or disposed of by way of gift or free samples By virture of section 73(1) a proper officer may issue a show cause notice in Form DRC-1 requesting him to pay the amount specified in the notice along with interest (@ 18%) and penalty. The proper officer may serve a statement containing input tax wrongly availed in Form DRC-2. Upon receipt of DRC-1 and 2, if the taxpayer pays the tax along with interest within 30 days of issue of SCN, no penalty shall be payable and all proceedings in respect of the said notice shall be deemed to be concluded. However the taxpayer can pay the amount of tax along with interest on the basis of his own asertainment of such tax or the tax as ascertained by the proper officer and inform the proper officer in writing of such payment. The proper officer shall after considering the reply if any, determine the amount of tax, interest and penalty equivalent to 10% of tax or Ten thousand rupees whichever is higher. The following instructions are issued to the officers. (1) Affix notices in office premises requesting the taxpayers to report the damage/loss of goods. (2) Conduct meeting of tax consultants and practitioners locally. (3) Send mail/mange to all the taxpayers to report the loss or damage of goods in the following format. Stock statement of damaged items, (a) Stock lost/damaged for which ITC availed. (i) Goods statement for traders Sl. No. Item HSN Quan-tity Value Rate of tax Invoice No. and date Supp-lier GST-IN Whether entire quantity damaged If No Yes No Total Invoice Value Quan-tity (ii) Finished/semi-finished goods for manufactures Sl. No. It-em HSN Qu-an-tity Val-ue Rate of tax Val-ue of raw mate-rial cons-umed It-em HSN Rate of tax Inv-oice No. and date Su-pp-lier GS-TIN Tot-al Inv-oice Val-ue Qu-an-tity (b) Stock lost/damaged for which ITC not availed. (inward supply during August or Return not filed). (i) Goods statement for traders Sl. No. Item HSN Quan-tity Value Rate of tax Invoice No. and date Supp-lier GST-IN Whether entire quantity damaged If No Yes No Total Invoice Value Quan-tity (ii) Finished/semi-finished goods for manufactures Sl. No. It-em HSN Qu-an-tity Val-ue Rate of tax Val-ue of raw mate-rial cons-umed It-em HSN Rate of tax Inv-oice No. and date Su-pp-lier GS-TIN Tot-al Inv-oice Val-ue Qu-an-tity (c) Stock lost/damaged inward supply from unregistered persons. (i) Goods statement for traders Sl. No. Item HSN Quan-tity Value Rate of tax Bill of supply/ Invoice No. and date Supp-lier GST-IN Whether entire quantity damaged If No Yes No Total Invoice Value Quan-tity (ii) Finished/semi finished goods for manufactures Sl. No. It-em HSN Qu-an-tity Val-ue Rate of tax Val-ue of raw mate-rial cons-umed It-em HSN Rate of tax Bill of Su-pp-ly/ Inv-oice No. and date Su-pp-lier GS-TIN Tot-al Inv-oice Val-ue Qu-an-tity (4) Conduct field visit to ascertain the genuineness of the damage reported (5) Cross verify the damage/loss statement with GST data in Backend system. Further instructions are awaited from Commissionerate.