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• Fail to mention GSTIN on all name boards.

• It is compulsory to mention GSTIN on all name boards of your business.

• Fail to mention GSTIN and details of composition registration on all name boards.

• It is mandatory for all composition dealers to mention “composition taxable person not eligible to collect tax on supplies” along with GSTIN.

• Fail to display registration certificate at all places of business.

• It is mandatory for every taxable person registered under GST to display certificate of registration at all places of business.

• Fail to obtain registration within 30 days from the date on which liability  for registration  arises.

• Section 22 of CGST Act 2017 mandates every person to register if the aggregate turnover exceeds Rs. 20 Lakhs.
• There are two possible cases of non-compliance in this category.
• An assessee do not obtain registration despite he is liable for the same.
• Registration is obtained after the threshold limit of 30 days.

Rs. 10,000 + ITC during the period of delay is lost

• Fail to issue invoice despite effecting outward supply.

• Invoice contains details of outward supply and GST charged on such supply.
• The amount of ITC is also determined on the basis of Invoice.
• If an assessee fails to issue invoice or issues a wrong invoice, such act may be treated as non conformance and subject to penalty.
• This situation may lead to supply without recording it and also the buyer may lose ITC since he doesn’t possess proper invoice.

• Issuance of Invoice without actual supply of goods / services.

• Every invoice issued must be correspond with actual supply of goods / services.
• If an invoice is issued without actual supply of goods / services, it may be subject to penalties.

• Fail to Issue appropriate Invoice.

• It is mandatory to issue Tax Invoice by every registered dealer u/s 9 of CGST Act.
• Composite Dealers registered u/s 10 must issue Bill of Supply on all outward supplies.
• GST Act also prescribes other documents like Receipt Vouchers, Refund Voucher etc.
• Fail to issue appropriate invoice / document is an act of non-conformance under GST.

• Availing Input Tax Credit on the basis of  wrong Invoice.

• ITC can be taken only on the basis of valid invoices issued by registered dealers.
• If any ITC is taken on the basis of a wrong invoice, such ITC is invalid and must be reversed along with interest and penalty.

• Fail to deposit  GST to the credit of the Government collected during outward supplies.

• GST collected at the time of outward supplies must be remitted to the credit of Government.
• Not depositing GST in due date shall be treated as an instance of tax evasion which may result into stiff penalties under GST.

Rs. 10,000 or 100% of tax evaded, whichever is higher

• Payment of IGST instead of CGST/SGST.

Or

• CGST instead of IGST/SGST.

Or

• SGST instead of CGST/IGST.

• IGST must be charged and remitted for all inter-state supplies.
• CGST & SGST must be charged and remitted for all intra-state supplies.
• GST charged under a given head must be remitted under the same head.
• If GST is remitted under a different head, such amount would get transferred to the credit of respective government.
• Hence, it is critical to deposit GST under appropriate head. 

• Fail to maintain proper records of the Stocks. 

•  as per Rule 56(2) of CGST Rules, 2017, it is mandatory for all registered dealers to maintain accurate stock record.
• Failure to maintain stock records shall be treated as an instance of non-conformation and may attract penalties.

Up to Rs. 25,000 

• For all non-specific defaults 

• In case of any default in respect of which no provisions for penalty / interest etc is specific under GST, general provision for penalty shall apply.