Punjab Input-Tax Risk Review: Evidence, Hearing and Challenge Rights

Full Article

A flagged input claim should trigger an evidence review, not an assumption that the supplier has committed fraud. The new risk framework allows several responses and includes a hearing safeguard.

What PRA may establish

The Act authorizes a risk-based evaluation system and a register categorizing taxpayers, suppliers and transactions. Risk analysis can concern input claims, adjustments, credits and refunds. Operating parameters and governance may be prescribed.

Possible action on a claim

For recorded reasons and subject to prescribed procedure, the Authority may defer admissibility pending verification, disallow all or part, ask for further evidence, or select audit/investigation. The provision requires an opportunity of hearing before adverse action.

Challenging an action

An aggrieved person may apply with supporting documents to the concerned Commissioner, who is to decide the application within thirty days. That decision period should not be misrepresented as an unrestricted thirty-day filing extension.

Build the evidence file

Link invoice, supplier status, contract, payment and actual receipt. Respond to the identified risk with specific records. The scanned Gazette repeats the 16CC numbering; the relevant heading is input-tax management through risk-based evaluation.

Source and scope

Punjab Gazette, Act L of 2026 (1 July 2026), scanned copy hosted by ConSerIC, PDF pages 2-3. Text reviewed on 14 October 2026. This explains the enacted amendment; a notification-dependent procedure must be checked separately before use.