“Such guidelines have been issued for GST audits for the first time. Assigning risk scores to various dealers for selection of audit are needed for authorities to focus on cases where a possibility of tax leak is more,” said Pratik Jain, partner, PwC India. He added it is good that a ‘desk-based audit’ is proposed for small taxpayers
without a physical visit to the premises. M S Mani, partner, Deloitte India, said businesses should be very careful in submission of the GST audit data and ensure it is reconciled before submission. This data will also be used for live audits in future, in addition to being used to determine taxpayers
who would be subjected to the audit. Vishal Raheja, deputy general manager-GST, Taxmann, said special care should be taken by officers since the GST is a new law and taxpayers are not too familiar with the GST audit. “Officers should take a liberal approach during first GST audit and educate taxpayers about it,” said Raheja.