Closing the gate after the horse has bolted is symptomatic of how the government and its regulators react. Toughened ‘procedures’ that are evolved at the bureaucratic levels are generally the outcome of a kneejerk reaction to some frauds or irregularities committed.
Increased checks will dent consumer goods imports, which often escaped attention of most state VAT authorities due to non-availability of import details. Now, enforcement will be done by GST and customs officers with much easier access to details.
Revenue officers will have to strike a middle path between voluntary compliance and enforcement to sustain normal buoyancy in revenue collection
A cursory look at the provisions clearly indicates that what has come out is one of the toughest tax legislations