GST INVOICE RAISED BY THE FRADULENT COMPANY WITHOUT THE KNOWLEDGE OF THE OTHER PARTY

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This query is : Resolved

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If a fraudulent company issues a GST invoice in your name without your knowledge or receipt of goods, you are not liable for the tax. The recommended course of action is to report the fraud to the police for investigation and file a credit note to nullify the tax. It's also advisable to formally inform the relevant GST authorities of your position.

swamy

swamy (Querist)

03 May 2025 If a fraudulent firm files an invoice in someone’s name and disappears, who is responsible for paying the tax amount?

1. The person in whose name the invoice was filed has no knowledge of the firm.
2. The invoice or materials have not been received.
3. The tax amount hasn't been utilised.

The person then receives a notice from the Anti-Evasion Cell, which is part of the GST authority, and they must pay the tax amount.
If a fraudulent firm raised an invoice in someone’s name and then disappeared, whose responsibility is it to pay the tax amount? What is the best course of action to take

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

04 May 2025 No need to pay tax amount in such a case.
Report the issue with the police for investigation.
File credit note to nullify the tax payable.

swamy

swamy (Querist)

05 May 2025 THANKS. But is it necessary to write a letter to the concerned {Notice issued to us} authorities, stating our stand?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

07 May 2025 Yes, better inform the concerned.

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