Basic principles for determining tax under various circumstances (Happy gst series - 18) by CA Rajender Arora
Section 75 of the CGST Act, 2017 governs the provisions for General provisions relating to
determination of tax.
1. What is excluded while determining the time to issue notice under Section 73 or Section 74
of CGST Act, 2017?
As per Section 75(1) of CGST Act, 2017:-
2. What is excluded while determining the time to pass order under Section 73 or Section 74
of CGST Act, 2017?
3. When the notice shall be deemed to be issued under sub-section (1) of section 73?
As per Section 75(2) of CGST Act, 2017, where any Appellate Authority or Appellate Tribunal
or court concludes that the notice issued under sub-section (1) of section 74 is not sustainable
for the reason that the charges of fraud or any wilful-misstatement or suppression of facts to
evade tax has not been established against the person to whom the notice was issued, the
proper officer shall determine the tax payable by such person, deeming as if the notice were
issued under sub-section (1) of section 73.
4. What is the timeline to issue order in pursuance of the direction of the Appellate Authority
or Appellate Tribunal or a court?
As per Section 75(3) of CGST Act, 2017, the order shall be issued within two years from the
date of communication of the said direction.
5. When an opportunity of being heard shall be granted?
As per Section 75(4) of CGST Act, 2017, an opportunity of hearing shall be granted
6. In what circumstances hearing can be adjourned?
As per Section 75(5) of CGST Act, 2017:-
7. Is it necessary to state basis of decision in order?
As per Section 75(6) of CGST Act, 2017, the proper officer, in his order, shall set out the
relevant facts and the basis of his decision.
8. Can grounds and demand be more than as specified mentioned in Notice?
As per Section 75(7) of CGST Act, 2017, the amount of tax, interest and penalty demanded in
the order shall not be in excess of the amount specified in the notice and no demand shall be
confirmed on the grounds other than the grounds specified in the notice.
9. When shall be the interest and penalty mentioned in order stand modified?
As per Section 75(8) of CGST Act, 2017, where the Appellate Authority or Appellate Tribunal or
court modifies the amount of tax determined by the proper officer, the amount of interest and
penalty shall stand modified accordingly, taking into account the amount of tax so modified.
10. Is interest payable even if not mentioned in order?
Yes. As per Section 75(9) of CGST Act, 2017, the interest on the tax short paid or not paid shall
be payable whether or not specified in the order determining the tax liability.
11. When adjudication proceedings shall be deemed to be concluded?
As per Section 75(10) of CGST Act, 2017:-
12. Can recovery proceedings u/s 79 be initiated in case self-assessed tax is due in
accordance with return furnished u/s 39 of CGST Act, 2017
Yes, As per Section 75(12) of CGST Act, 2017:-
13. Can penalty for the same act or omission be imposed again?
No, As per Section 75(13) of CGST Act, 2017:-
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