GST Notices: Types, Causes, and Response Steps

GST notices are official communications from tax authorities addressing compliance issues under the Goods and Services Tax (GST) system. Common notices include Show Cause Notices, Demand Notices, Scrutiny Notices, and Recovery Notices, often issued for discrepancies in tax filings, non-filing of returns, incorrect Input Tax Credit (ITC) claims, or overdue payments. Each notice serves a specific purpose, such as seeking clarifications, recovering dues, or enforcing legal compliance. Failing to respond within the specified timeframe can lead to severe consequences like penalties, legal actions, or even cancellation of GST registration. To handle GST notices effectively, taxpayers should carefully review the notice, gather supporting documents, respond promptly via the GST portal, and resolve any dues.