Communication between taxpayers

The GST regime has changed in multiple ways how businesses deal with each other. The interdependence among business partners has further increased as timely compliance by one person determines the cash flow of another person.

The input tax credit of one person is available only if the supplier has shown the concerned invoice in its GSTR-1. If not shown, the buyer cannot get ITC and this results in avoidable blockage of working capital. On the other hand, if the buyer doesn’t pay the dues on time, the funds of the supplier are blocked. 

The taxpayers communicate amongst themselves but to no effect. But one party should not suffer due to the mistakes of another party. If no solution can be reached amongst the taxpayers, one can involve the GST department.

Yes, the GST department might come to your rescue. The GST portal has a functionality by the name of “Communication Between Taxpayers”. As a supplier, you can tell the department that payment against a particular invoice(s) is not received and the department will send a notification to the concerned buyer in this regard. Similarly, as a buyer, you can tell the department that an invoice is missing in your GSTR-2B and the department will send a notification to the supplier in this regard.

The above functionality is available to all the registered taxpayers but is not being used to full effect. This functionality may be used by the aggrieved taxpayers to expedite the pending non-compliance(s) of their buyers/suppliers, as the case may be. 

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