Circular No. 171/03/2022-GST — The UTTARAKHAND GST ACT

Circular No. 171/03/2022-GST FNo CBIC-20001/2/2022-GST Government of India Ministry of Finance Department of Revenue Central Board of Indirect Taxes and Customs GST Policy Wing New Delhi, Dated the 6th July, 2022 The Principal Chief Commissioners/ Chief Commissioners/ Principal Commissioners/ Commissioners of Central Tax (AllY The Principal Directors General/ Directors General (AlL) Madam/Sir; Subject: Clarification on various issues relating to applicability of demand and penalty provisions under the Central Goods and Services Tax Act; 2017 in respect of transactions involving fake invoices-Reg number of cases have come to notice where the registered persons are found to be involved in issuing tax invoice, without actual supply of goods or services or both (hereinafter referred to as fake invoices" ), in order to enable the recipients of such invoices to avail and utilize input tax credit (hereinafter referred to as "ITC ) fraudulently. Representations are being received from the trade as well as the field formations seeking clarification on the issues relating to applicability of demand and penalty provisions under the Central Goods and Services Tax Act; 2017 (hereinafter referred to as "CGST Act"), in respect of such transactions involving fake invoices. In order to clarify these issues and to ensure uniformity in the implementation of the provisions of law across the field formations, the Board, in exercise of its powers conferred by section 168 (1) of the CGST Act; hereby clarifies the issues detailed hereunder: Sl. No. L Issues Clarification In case where a registered person "A" Since there is only been an issuance of tax has issued tax invoice to another invoice by the registered person A to registered person Bv without any registered person B' without the underl