instruction No. 03/2023
This instruction issues detailed guidelines to strengthen scrutiny and verification of GST registration applications to curb fake and bogus registrations used for fraudulent ITC. It mandates immediate and thorough examination of FORM GST REG-01 and uploaded documents, including cross-verification of address proofs and applicant details from public sources. DGARM risk ratings (High/Medium/Low) are to be mandatorily considered, with special focus on high-risk cases and applicants with adverse PAN history. Proper officers are required to issue FORM GST REG-03 seeking clarifications wherever deficiencies or doubts arise and to pass reasoned orders in FORM GST REG-05 where applications are rejected. Physical verification of place of business is made mandatory in Aadhaar non-authenticated cases and permitted even in Aadhaar-authenticated cases where risk indicators exist. Strict timelines are prescribed to avoid deemed approvals, and supervisory officers are directed to closely monitor compliance and take remedial action in cases of negligence.