Ques:  We have received the SCN DRC-01 under Section 73 for the tax period FY 2020-21. As we are providing transport services under the forwarding charge mechanism, our taxable supply is ₹33,888,455, and the exempted supply is ₹16,494,079. The notice states that ITC should be reversed on non-business transactions and exempt supplies. The proportion of common ITC to be reversed is based on the extent of exempt supply. The department is asking us to reverse input credit of ₹2,107,390. Please guide us on how to handle this issue

Ans: As per Rule 42 of CGST the credit is available in the ratio of taxable divided by total supply. This rule is there for common credit and for credit directly related to taxable supply can be taken in full. Accordingly you need to check the calculations.

Ques:955 : Can I Appoint an authorized signatory in GST Registration of a Proprietorship firm who can do Biometric Aadhar Authentication at Facilitation Center.

Ans: As per the FAQ of Goods and Services Tax both the Proprietor and Primary Authorized Signatory are required to go to designated GST Suvidha Kendra for Biometric Aadhaar Authentication. The relevant question is shown below

Link: https://tutorial.gst.gov.in/userguide/registration/General.htm

Ques: How it so happened that in this budget 2025 presented except Customs duties, there is no mention of gat tax span rates. Etc.? Why?

Ans: They will soon be notified separately