GST, or the Goods and Service Tax, as it is popularly known, is an indirect tax. It is levied on every consumer in India upon the purchase of different goods. This tax was implemented on 1st July 2017 as a replacement for VAT, service tax, excise duty, etc. Although GST has nullified the cascading effect of taxes, it has also led to many frauds in modern times. Various businesses and restaurants tamper the bills by printing fake GST numbers. These fraudsters charge extra from the customers without having a valid GST number. Today, GST is charged everywhere. Thus, customers have no clue regarding the authenticity of the company’s GST registration.
After reading this article, the viewers will be able to distinguish between a valid and fake GST number. This is possible online within just 30 seconds. We will read about how to check a fake GST number online. So, gear up for some juicy information to bust the fraudsters. Then well proceed towards the verification of the GST number. Later we will know the consequences of not having a valid number. Then let’s learn about the advantages of online search and finally conclude the article.
How To Verify Or Check A Fake GST Number?
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This is a simple procedure. Every bill issued by the shopkeeper has the GST number mentioned. Every business must mention the number on the bill or invoice. It is not legal for the businesses to charge GST without mentioning the GST number. The authenticity of the GST bill can be checked by following the steps given below.
1. Note the GST number mentioned on the bill.
2. Open the online portal//services.gst.gov.into check the validity of GST numbers.
3. Enter the GST number noted.
4. Enter the right captcha and click ‘SEARCH.’
5. After a few seconds, the business name registered with the GST number will appear. The details that will be mentioned on this page are as follows:
- The legal name of the business.
- Date of registration.
- Constitution of business- company, sole-proprietor, or partnership.
- Taxpayer type- regular taxpayer or composite dealer.
- GSTIN status.
6. If under ‘Taxpayer Type’, the word ‘Composition’ is mentioned, then the business owner is not eligible to charge taxes.
7. Filing table.
8. If the site asks you to enter a valid GST number, then the number that was initially entered by you was fake.
9. Next, check if the rates charged are correct. Some businesses may charge more than the required amount of tax.
What Happens If The Business Doesn’t Have A GST Number?
Sometimes it so happens that the businesses apply for a GST number, but they do not have a confirmed GST number. In this case, they are issued a provisional GST number. Some may charge GST even without having a provisional GST number justifying that they have applied. In such cases, the owners are not allowed to collect GST unless they are allotted a provisional GST number.
GST In The Old Format
Some businesses and shopkeepers also charge GST using old receipts mentioning value-added tax (VAT) and central sales tax (CST). The GST consist of two parts they are: Central Goods and Service Tax (CGST) and State Goods and Service Tax (SGST).
This came into effect from July 1, 2017. Thus, every business was asked to upgrade their invoices by mentioning the CGST and SGST break-up. If the bill does not specify these two entities, then the taxes levied on the commodities are not valid.
Advantages Of Online Search And Verification Of The GST Number
The benefits of verifying the GST number online are as follows.
i. It proves the authenticity of the GST number.
ii. Is helps to verify an unclear hand-written invoice that has the GST number.
iii. The online verification of the GST number prevents customers from getting duped of their money.
iv. This prevents GST fraud.
v. If there are any errors in the number, then the vendors and businesses can correct them.
Where To Complain?
There are many helplines. The GST department has dedicated call-centers to answering complaints and queries raised by the consumers. There are many helpline numbers and emails regarding the same.
GST Helpline Number: 0124-46880999 or 0121-4888999
What Is A GST Identification Number?
The GSTIN or the GST identification number, or simply called a GST number, is a 15-character code with a combination of characters and numbers. There can be multiple GST numbers for a single business or a person as per the Income Tax act. The GST number is public information. It can be searched by anyone over the click of a button from anywhere and anytime.
The 15 characters are further divided into 5 parts.
- The first part consists of 2 characters. This is the state code where the business is registered.
- The next 10 characters denote the PAN number of the business.
- The 13th digit denotes the number of businesses with the same PAN number. It could also denote the registration number of the business.
- The 14th digit is a default letter ‘Z.’
- The 15th character is the check code.
Today GST is a reality, and it is charged almost everywhere. Now the prices of almost every commodity have surged. Earlier, the shops and restaurants never charged an extra penny. But they have now begun charging 18% more on the bills in the name of CGST and SGST. No wonder this government initiative is a huge reform in our country.
But there are serious frauds taking place all over the nation. Today these businesses are creating a hole in the customer’s pocket. By getting fake GST numbers printed, the shopkeepers have trapped the customers. This is mainly due to the lack of understanding of the customers. Thus, they should be aware of their purchases and stay alert about possible frauds.
It is high time that such frauds should be eradicated from the system. The customers should not fall prey to all the charges that are made by the shop owners in the name of GST. They should quickly scan the number and raise questions to the owner.
The authorities should be informed about the frauds. The fraudsters should be penalized for duping the customers. Let’s pledge ourselves to be alert and prevent fraud from taking place. So, this is how you check a fake GST number in 30 seconds.