The Governor of Bihar notifies the Bihar Goods and Services Tax (Tenth Amendment) Rules, 2020. These Rules were notified on 28th August 2020 and are deemed to be in force from the 20th August 2020 unless stated otherwise. The new Rules amend the Bihar Goods and Services Tax Rules, 2017.
The Amendment stipulates for the following key changes:
- It makes authentication of Aadhaar number optional for registration of any person under the Bihar Goods and Service Tax Act, 2017.
From 21st August 2020, an applicant for registration has the option of authenticating his Aadhaar number while making an electronic application in Part B of Form GST REG-01. If he undergoes authentication of his Aadhaar number, the date of submission of the application will be the date of authentication of the Aadhaar number, or fifteen after the submission of the application, whichever is earlier.
However, an applicant does not include person or class of persons or any State or Union territory or part thereof, as the Government may, on the recommendations of the Council, specify by notification.
This provision is deemed to be inserted in the said Rules from 1st April 2020. Prior to this Amendment, the applicant was required to undergo authentication of Aadhaar number while submitting his application for grant of registration. This authentication is now made optional and the applicant is not required to authenticate his Aadhaar number to obtain the registration.
- It includes not availing of the option to authenticate Aadhaar number as a ground for physical verification of business premises
The Amendment stipulates that where a person fails to authenticate/ does not opt to authenticate his Aadhaar number, the registration will be granted only after physical verification of the place of business. Such verification will be undertaken in the presence of the applicant and in the manner stipulated by the Rules.
Prior to this amendment physical verification of the business premises was undertaken only in cases of failure to authenticate Aadhaar number before registration. Physical verification could also be undertaken for any other reason after registration. Now, not availing the option of authenticating the Aadhaar number is an additional ground for physical verification of the premises before the registration of the applicant.
Furthermore, an officer can now carry out verification of documents instead of physical verification of premises. For this purpose, he is required to record his reasons in writing and obtain approval of an officer not below the rank of Joint Commissioner.
- It stipulates for the issue of notice for additional information where the applicant does not opt to authenticate his Aadhaar number
The Amendment now states that where an applicant fails/opts not to authenticate his Aadhaar number a notice in FORM GST REG-03 will be issued to him. Such notice will require clarifications, information or documents from the applicant. This notice must be issued within twenty-one days from the date of submission of the application.
If the applicant does not reply to this notice or if the officer is not satisfied with the clarification, information or the documents received from the applicant, he may reject the application. Such rejection will be intimated to the Applicant in FORM GST REG05. Formerly, such applications had to be rejected by the officer if the above circumstances were met. The present amendment has however left it to the discretion of the officer to reject the application, but the requirement of recording the reasons for rejection still remains.
Additionally, the Amendment states that if the proper officer fails to take requisite action within the stipulated time frames, the application for grant of registration shall be deemed to be approved.
This amendment has been adopted by the State of Bihar in consonance with the notification issued by the Central Government amending the Central Goods and Service Tax Rules, 2017. The said notification provides for the same provisions and can be read at ‘The Central Government notifies the Central Goods and Services Tax (Tenth Amendment) Rules, 2020’.
