Section 64 of CGST Act, 2017 : Section 64: Summary Assessment In Certain Special Cases

Explanation using Example

Imagine a scenario where a proper officer from the tax department receives information that a local electronics store has been underreporting sales to evade GST. The officer, with permission from the Additional Commissioner, assesses the store's tax liability to ensure revenue protection. The officer believes that any delay might lead to further loss of revenue, so an immediate assessment order is issued against the store.

The electronics store owner, upon receiving the assessment order, believes it to be incorrect. The owner applies to the Additional Commissioner within thirty days for a re-evaluation. The Additional Commissioner reviews the case, finds the initial assessment to be erroneous, and decides to withdraw the order. Subsequently, the correct procedure as per section 73 or section 74 is followed to reassess the store's tax liability.