Chennai: According to sources, tax authorities have put on hold for a few months scrutiny of GST compliance by businesses and traders to avoid unsettling the business and trading community before the crucial national polls due in April-May.
This is done despite a gaping hole in revenue receipts this fiscal year, and an ambitious 18 per cent growth forecast for 2019-20. The authorities will, however, continue to collect data on transactions from various sources, which will be useful once enforcement measures are scaled up.
The pause on anti-evasion measures till early July will help the government in several ways, especially to avoid unsettling the business and trading community before the crucial national polls due in April-May, according to sources. Besides, tax authorities will also have the annual returns, as well as audit report, for the first year (2017-18) of the tax reform by July. India would also have completed the two-year transition period of the largest tax reform since Independence.