Wait...

Online Export Import Data Search

Recent Searches: No Recent Searches
Complete Training Video : Click Here

GST officials bust racket for availing Rs 50 cr illegal ITC; 1 arrested


Date: 24-10-2020
Subject: GST officials bust racket for availing Rs 50 cr illegal ITC; 1 arrested
Busting an illegal input tax credit (ITC) racket, GST officials have arrested a wannabe chartered accountant for alleged involvement in passing on ITC of about Rs 50 crore through a web of 115 fake companies, a source said on Friday.

Prince Manish Kumar Khatri, a third-year student and a partner of a CA firm in Ahmedabad, allegedly registered fake firms that were used to avoid paying Goods and Services Tax (GST) by showing bills generated by them as ITC.

In all, ITC of Rs 50.24 crore was wrongfully passed on, the source said.

The source said Khatri is allegedly the key person involved in registration of 115 non-existent firms and filing of GST returns of such fake firms, thus passing on ineligible ITC for wrong availment and utilization for GST payment.

These fake firms are spread over 9 GST Commissionerates and the Directorate General of GST Intelligence (DGGI) has detected the fraud with the help of data analytics.

Out of these 115 fake units, 49 fall under Ahmedabad North Commissionerate; 27 under Vadodara-II Commissionerate; 15 under Bhiwandi Commissionerate; 12 under Gandhinagar Commissionerate.

Besides, 5 units fall under Ahmedabad South Commissionerate; 3 under Jodhpur Commissionerate; 2 under Vadodara-I Commissionerate; 1 under Thane Rural Commissionerate and 1 unit under Bhavnagar Commissionerate.

“Now the use of Aadhaar in GST registration will bring better control over such unscrupulous professionals who try to create bogus/fake firms for GST evasion by fraudulent availment and passing on of ITC," the source said.

The source further said law is being further tightened to have better control on such malpractices.

Moreover, the government is considering putting such dubious firms under risk category like in case of export firms, and can block their refunds, besides taking other appropriate legal actions, if found involved in deceitful practices.

Source:-economictimes.indiatimes.com

Infodrive India Pvt Ltd

Delhi :
  F-19, Pocket F, Okhla Phase-I
      Okhla Industrial Area

      New Delhi- 110020
   011 - 40703001

Kolkata :
  5th Floor Stesalit Towers,
      E-2-3, EP & GP Block,

      Sector-V, Salt Lake City,
      Kolkata-700 091
   033 - 71177191

INFODRIVE INDIA Copyright © 1996-2020 InfodriveIndia. All Rights Reserved.
Please read our Terms of Use and Privacy Policy before you use.

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+