Attention All Chartered Accountants and Tax Audit firms!
Panipat Haryana court latest year -2019 verdict on who all are liable for a defaulter for GST Tax
In Panipat -Haryana state one Auditor/GSTP has registered GST formalities for one client in GST regular scheme by uploading all documents and that Auditor has given his personal mobile number and email address to department at the time of uploading and he was getting otp and other intimations to him only
The client is a clear-cut case of defaulter who has not paid any amount he is liable for GST ( Fraud & Cheating the Department )since January 2018 and department has cancelled his number and taken action to GST holder.
Now the investigating Crime Branch Department has given notice to the Auditor/GSTP about this case and crime branch is accusing that the Auditor has only uploaded all documents, monthly returns , mobile and email address and received all communications but does not have any proof of forwarding it to the client at all.
Their version is the Auditor is also involved in the Fraud promising to take care of everything be it any consequences of negligence or willful committing of Fraud.
Interestingly now the same client has taken a new GST registration number and doing business in same place by his new number.
The court has given a verdict in favor the client saying he never received any intimation and the Auditor is the one who is responsible for the lack of communication and penalized him .
*This is an alert message for circulation to all Chartered Accountants and Auditors-and we advise utmost caution to all Auditors /GSTPs and take care not to upload your contact details but the client’s details only *
**(This is a very serious issue, may be we are some professional some how must use our own email id for the benefit of our esteemed clients, as they are not very use to their own email id even some time they are also not timely available so we are use our own email id to timely filling of GST returns (I never use my own mobile no). Now according to above fact we are in great trouble, as some clients not filling their returns from long time, due to compliance burden and professional fee they can take a new registration and carry on their business. And we are become fraud in the eyes of Government. So my request to all the Professional how to overcome the issue and even require we can raise a issue to GSTIN.)***
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