Amended and updated notes on section 66 of CGST Act, 2017. Detail discussion on provisions and rules related to special audit.
Chapter XIII (Sections 65–66) of the Central Goods and Services Tax Act, 2017 deals with the provisions related to audit. Section 66 of CGST 2017 provides for special audit.
Recently, we have discussed in detail section 65 (Audit by tax authorities) of CGST Act 2017. Today, we learn the provisions of section 66 of Central GST Act 2017.
Section 66 of the Central Goods and Services Tax Act, 2017 has been notified by the Ministry of Finance vide Notification No. 9/2017-Central Tax, G.S.R. 658(E), dated 28.06.2017. This notification was come into force from 1st July, 2017 i.e. the commencement date of section 66 is 1-7-2017.
| Name of Act | The Central Goods and Services Tax Act 2017 |
|---|---|
| Enacted by | Parliament of India |
| Administered by | Central Board of Indirect Taxes & Customs |
| Governing body | GST Council |
| Number of Chapters | 21 |
| Number of Sections | 174 |
| You are reading: | |
| Chapter No. | XIII |
| Chapter Name | Audit |
| Section No. | 66 |
| Section Name | Special audit |
| Updated 2024 Edition | GST Law Book PDF |
Relevant Rules and Forms for GST Section 66:
- Rule 102: Special Audit
- FORM GST ADT-03: Communication to the registered person for conduct of special audit under section 66
- FORM GST ADT-04: Information of Findings upon Special Audit
Section 66 of Central GST – Special audit1
Section 66 of CGST Act 2017 shall come into force on 01.07.2017 vide Notification No. 9/2017-Central Tax, G.S.R. 658(E), dated 28.06.2017.
Section 66(1) of CGST Act
Section 66(1): If at any stage of scrutiny, inquiry, investigation or any other proceedings before him, any officer not below the rank of Assistant Commissioner, having regard to the nature and complexity of the case and the interest of revenue, is of the opinion that the value has not been correctly declared or the credit availed is not within the normal limits, he may, with the prior approval of the Commissioner, direct such registered person by a communication in writing to get his records including books of account examined and audited by a chartered accountant or a cost accountant as may be nominated by the Commissioner.
Section 66(2) of CGST Act
Section 66(2): The chartered accountant or cost accountant so nominated shall, within the period of ninety days, submit a report of such audit duly signed and certified by him to the said Assistant Commissioner mentioning therein such other particulars as may be specified:
Provided that the Assistant Commissioner may, on an application made to him in this behalf by the registered person or the chartered accountant or cost accountant or for any material and sufficient reason, extend the said period by a further period of ninety days.
Section 66(3) of CGST Act
Section 66(3): The provisions of sub-section (1) shall have effect notwithstanding that the accounts of the registered person have been audited under any other provisions of this Act or any other law for the time being in force.
Section 66(4) of CGST Act
Section 66(4): The registered person shall be given an opportunity of being heard in respect of any material gathered on the basis of special audit under sub-section (1) which is proposed to be used in any proceedings against him under this Act or the rules made thereunder.
Section 66(5) of CGST Act
Section 66(5): The expenses of the examination and audit of records under sub-section (1), including the remuneration of such chartered accountant or cost accountant, shall be determined and paid by the Commissioner and such determination shall be final.
Section 66(6) of CGST Act
Section 66(6): Where the special audit conducted under sub-section (1) results in detection of tax not paid or short paid or erroneously refunded, or input tax credit wrongly availed or utilised, the proper officer may initiate action under section 73 or section 74.
Special audit under GST is conducted by chartered accountant or cost accountant. In GST special audit deals with section 66 of CGST Act 2017. You may click here to know which of the following services are exempted under GST.
- Section 66 of CGST Act 2017 shall come into force on 01.07.2017 vide Notification No. 9/2017-Central Tax, G.S.R. 658(E), dated 28.06.2017. ↩︎