refusing to issue GST BILL, even after taking rs 120000/- as payment towards incomplete work

The following is the reminder mail sent to m/s satish enterprises, requesting them to issue us a valid GST paid bill, towards a payment of rs 120000/- that they have taken from us.
It seems, like this company is a habitual GST evader, and fools customers into making payments, and then neither do they finish there job for which they have taken the payment, nor do they issue a valid bill.


To
M/s Satish Enterprises
E – 67, sector 9, Noida
Gstin – 09AHSPD1274G1Z8
Ph – 9811514159


Dear Mr. Dixit,

This is the 2nd reminder in reference to the issuance of a tax invoice against the advance payment made to your firm Satish Enterprises for the aluminium partitioning work at my office.

That we had made the advance payment of Rs. 30,000.00 on 14th January, 2020 and 90,000.00 on 12th February, 2020 to your firm from our Company Joyful Wears Private Limited.

That the partitioning work was done by you in the month of February, 2020 for which a Tax Invoice as per the prevailing GST Laws was supposed to be issued by you in February, 2020 to enable us the credit of the GST paid to your firm Satish Enterprises. We have also provided you the GST number of our Company Joyful Wears Private Limited but till date no invoice has been issued by you.

We have even deposited the TDS @ 1% under Section 194C of the Income Tax Act against your PAN AHSPD1274G in the month March, 2020. The TDS Certificate for the same shall be shared to you once you provide us the GST paid invoice in the name of our Company Joyful Wears Private Limited.

If your firm does not issue tax invoices to customers and adapt to evade GST collected from the customers, I would request you to kindly refund our advance payment and we shall assign the job to some professionally managed tax compliant contractors. It seems the invoice is deliberately not being issued to evade GST payment and the firm seems to be following this practice in its normal business parlance.

Further to your notice, I would like to inform you that as per Section 31(2) of the CGST Act, 2017 read with Rule 47 of the CGST Rules, 2017, the tax invoice shall be issued within the legally prescribed period of 30 days from the date of supply of service.

In case of receipt of payment is effected, the invoice shall be issued immediately on receipt of such payment from the customer. As we had made the payment in advance and the service has been provided, you are legally liable to issue tax invoice as per the GST Act. In no case the issue of invoice can be postponed in such scenario except if your firm deliberately wants to evade the GST as well as the Income Tax on this revenue.

I am attaching an extract of the legal provision under the GST Act for issue of invoice within a legal time frame for your reference and knowledge.

As you are depriving our Company, Joyful Wears Private Limited of our legally claimable GST credit on the above transaction, I would have no other option than to report the same to my Jurisdictional GST office who shall in turn contact your GST jurisdictional office to take appropriate action against your firm.

In case, you do not provide us the GST invoice in the name of our Company Joyful Wears Private Limited upto 10th of July, 2020, I shall be compelled to take this matter to the GST office and you shall be fully responsible for what follows thereafter.

I request you to take this on priority and make all necessary compliance in this regard and revert us once the same is done at your end.

Regards
Nivit Bhasin | Director
Joyful Wears Private Limited
9810128896