Why Do 80% of New Businesses Face GST & Compliance Notices?
Starting a new business is exciting. You focus on sales, customers, branding, and growth. But within months, many entrepreneurs receive their first GST notice or compliance warning — and panic begins. In reality, nearly 80% of new businesses face GST and compliance notices during their early years. The issue is not intentional non-compliance. It is usually lack of awareness, improper accounting systems, and missed deadlines. At Power of Factorial Business Solutions , KR Puram, Bangalore, we regularly help startups and small businesses resolve GST notices, TDS errors, ROC penalties, and tax compliance issues before they become serious problems. Let’s understand the real reasons behind this. Wrong GST Filing One of the biggest reasons for GST notices is incorrect GST filing. Many new businesses file GST returns without proper reconciliation. Common mistakes include: Mismatch between GSTR-1 and GSTR-3B Incorrect Input Tax Credit (ITC) claims Wrong turnover reporting Failure to reco...