
Introduction
Biometric authentication, a game-changer in fraud prevention, is now live at 46 GST service centres. This initiative uses Aadhaar-based verification to ensure only genuine entities obtain GST registrations. The move aims to enhance transparency, reduce fraud, and bolster taxpayer confidence.
The system mandates biometric verification for applicants flagged during GST registration. This ensures only legitimate businesses operate under the GST regime, curbing malpractices like fake invoicing and bogus Input Tax Credit (ITC) claims.
Key Objectives of Biometric Authentication
- Prevent Fraudulent Registrations:
Biometric verification eliminates identity theft and fake registrations, creating a secure environment for genuine taxpayers. - Enhance Compliance:
With a robust registration process, businesses are likely to comply better with GST rules, fostering a fair tax ecosystem. - Boost Transparency:
Linking Aadhaar with GST registration ensures transparency and accountability in the tax system. - Reduce Litigation:
By preempting fraud, authorities can minimise disputes and recoveries related to bogus ITC claims.
Implementation: How It Works
- Aadhaar Authentication:
Applicants flagged during registration will undergo biometric authentication using Aadhaar data. - Verification Centres:
These 46 centres are equipped with state-of-the-art biometric systems for accurate and quick verifications. - Applicant Responsibility:
Flagged individuals must visit designated centres within a stipulated time for verification.
Biometric authentication at 46 GST service centres marks a significant step toward fraud-free registrations. By leveraging technology, the GST framework becomes more secure and reliable, benefiting both taxpayers and authorities.