In a significant move to enhance transparency and streamline procedures, the Central Board of Indirect Taxes and Customs (CBIC) has issued Instruction No. 04/2023-GST on November 23, 2023. The instruction pertains to the issuance of notices under various sections of the Central Goods and Service Tax Act, 2017 (CGST Act) and emphasizes the electronic serving and uploading of summaries on the GST portal. Under sections 52, 73, 74, 122, 123, 124, 125, 127, 129, and 130 of the CGST Act, proper officers are required to issue notices for the demand and recovery of taxes, interest, penalties, or fines. Rule 142 of the Central Goods and Service Tax Rules, 2017 (CGST Rules) further mandates the electronic service of a summary of such notices on the GST portal in FORM GST DRC-01.
The instruction underscores that any order issued under the specified sections of the CGST Act must be accompanied by the electronic uploading of a summary on the portal in FORM GST DRC-07. This summary should distinctly specify the amounts payable by the concerned individual, including tax, interest, and penalties. The CBIC has observed instances where field formations are manually serving notices and orders without electronically providing summaries on the portal as required by CGST Rules. Such practices are deemed a violation of the explicit provisions of the rules, potentially impacting record-keeping under GST. To rectify this, proper officers are directed to ensure the electronic serving of summaries for notices issued under the relevant sections of the CGST Act and the uploading of order summaries on the portal in FORM GST DRC-01 and FORM GST DRC-07, respectively. This action not only makes information accessible to taxpayers but also aids in tracking proceedings, ensuring compliance, and facilitating subsequent actions such as recovery and appeal.
The directive extends to the Principal Chief Commissioners/Chief Commissioners of the CGST Zones and Principal Director General of DGGI, emphasizing their role in overseeing compliance within their respective jurisdictions.