A fine of up to Rs. 50,000 For Non-Display of GST Number: CBIC

As per the directive from the Central Board of Indirect Taxes and Customs (CBIC), entrepreneurs registered on the GST network portal in Bathinda, Punjab, are required to prominently display their GST number at their business premises. 

Failure to comply with this guideline may result in fines of up to Rs 50,000. The CBIC is actively promoting GST number verification among businesses through a campaign running until September 15.

The initiative aims to enhance GST revenue collection by confirming the registration status of every business owner with GST. The GST department has segmented the district, encompassing approximately 14,000 businesses, into 9 wards. 

Business proprietors are required to display their GST number on the wall or main signboard of their establishments as part of this verification process.

As per Assistance Excise and Taxation Commissioner (AETC) Kapil Jindal, businesses failing to display their GST number can face a combined fine of Rs 50,000, divided equally between the state and federal governments. 

He noted that many business owners overlook this guideline, and some even deceive customers by not applying GST.

In the case of restaurants or dhabas with an annual revenue of less than 50 lakhs, they fall under the composite scheme and are not authorized to collect GST. However, these small eateries and dhabas still charge customers a 5% GST.

The tax agency is adopting a strict approach to this issue and intends to penalize those who do not comply. Officials are initiating this effort by reaching out to business owners who have claimed more input tax credits than their actual sales. Displaying the GST number aids officers in verifying whether the correct taxes have been paid.

Also Read: How to Claim Input Tax Credit on Gold Coins and White Goods: A GST Ruling on Business Incentive Schemes