DEMAND OF TAX - Handbook of GST Law & Procedures (CBIC) [October 2024] - GST

2. DEMAND OF TAX 2.1. CGST Act, 2017, authorizes the Proper Officer (please refer Para 5 below) to demand and determine the amount of tax not paid or short paid, wrongly availed/utilized Input Tax Credit, tax erroneously refunded and tax collected but not paid. The proper officer has to act as per the provisions of Sections 73, 74 and 76 of the CGST Act, 2017, relevant to the case. 2.2. The Proper Officer, has to send a show cause notice prescribed under Rule 142 of the CGST Rules, 2017, to the person liable to pay the tax. The Demand Notice contains information regarding the amount of tax owed, the reason for the demand, and the period within which the tax must be paid. The Proper officer has to follow the online procedures as illustrated in para 6 below. Process-flow is as under: