Section 32 – Prohibition of Unauthorised Collection of Tax
Section 32 of CGST Act, 2017 – Prohibition of Unauthorised Collection of Tax Updated on: February 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Bare Act – Section 32 Section 32: A person who is not a registered person shall not collect in respect of any supply of goods or services or both any amount by way of tax under this Act. Further, no registered person shall collect tax except in accordance with the provisions of this Act or the rules made thereunder. 2. Objective of Section 32 Section 32 aims to: Prevent unauthorised collection of GST Protect recipients from illegal tax collection Ensure that only eligible persons collect GST This section enforces the basic principle that tax can be collected only by authority of law . 3. Prohibition on Unregistered Persons An unregistered person : Cannot charge GST on any invoice Cannot collect any amount as CGST, SGST or IGST Even if: GST is otherwise applicab...