The Government of Goa, through the Office of the Commissioner of State Taxes, has issued Order No.: CST/26-5/CRU/2025-26/5648 dated February 27, 2026 to strengthen monitoring of GST registrations and curb the menace of fake GST registrations in the State. The order has been issued under Section 168 of the Goa Goods and Services Tax Act, 2017, directing field officers to undertake verification of business premises in cases where official GST welcome letters sent to newly registered taxpayers are returned undelivered.
The order notes that whenever a new GST registration is granted, the GST portal automatically generates a welcome letter which is sent by registered speed post to the Principal Place of Business (PPoB) provided by the applicant at the time of registration. However, it has been observed that in several cases such letters are returned by postal authorities with remarks such as “insufficient address”, “incorrect address”, “no such person found”, “address cannot be located”, or “unclaimed/returned to sender.” Such instances raise serious concerns regarding the authenticity of the taxpayer’s declared place of business.
According to the order, the return of official communication by postal authorities may indicate that the address furnished during GST registration is incomplete or that the taxpayer does not actually operate from the declared premises. Such situations may point to the existence of non-genuine entities created for fraudulent purposes, including the generation and circulation of fake invoices and wrongful availment of Input Tax Credit (ITC). Therefore, prompt investigation and verification by field officers is considered necessary to prevent potential loss of government revenue.
To ensure uniform implementation of the GST law, the order directs that the Centralized Registration Cell at the Head Office shall forward all returned welcome letters received from postal authorities to the jurisdictional State Tax Officer (STO) within three working days. Upon receipt of such communication, the concerned STO must immediately initiate field verification of the taxpayer’s principal place of business as well as any additional places of business mentioned in the registration certificate.
During the verification process, officers are required to examine all documents submitted at the time of GST registration and physically visit the declared business premises to confirm the authenticity of the address. The verification team may conduct inquiries, record statements of persons found at the premises, collect relevant evidence, and take photographs to establish whether the taxpayer genuinely operates from the declared location.
In cases where it is found that the taxpayer does not exist at the declared address or that the address provided during registration is fictitious or unverifiable, the jurisdictional officer shall initiate appropriate proceedings for cancellation of GST registration under Section 29(2) of the GST Act in accordance with the prescribed legal procedure. The inquiry report must clearly indicate whether the taxpayer had ever operated from the declared premises or whether the entity never had access to the premises from the beginning.
However, in situations where the taxpayer is found to be genuinely operating at the given location and the postal communication was returned due to minor address discrepancies, the taxpayer shall be directed to update or amend the registration particulars under Section 28 of the GST Act to ensure accurate and complete address details in official records.
The order further directs that the concerned State Tax Officer must submit a detailed verification report to the Deputy Commissioner of State Tax (GST) at the Head Office within 30 days from the date of receipt of the returned envelope. Officers have also been instructed to initiate appropriate legal action based on verification findings without waiting for further instructions from higher authorities and ensure completion of the process within the statutory timelines.
Additionally, the order mandates that such taxpayers be closely monitored for at least six months, particularly with respect to return filing, input tax credit utilization, and any suspicious transactions that may indicate fraudulent activity. The Centralized Registration Cell at the Head Office will also track whether verification reports are submitted in a timely manner by the jurisdictional ward offices.
The Commissioner of State Taxes has emphasized that these instructions must be strictly followed by all concerned officers, and any deviation from the prescribed procedure may attract strict action. The measure aims to enhance compliance under the GST framework, safeguard government revenue, and prevent misuse of the tax system through fake registrations.
The Order can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2026/03/Order_GST_Field_Verification_post-Registration.pdf
