CGST Delhi West officials arrest one for fraudulently availing ITC of more than Rs 8 crore On the basis of an alert, an investigation against M/s Niyati Steels has been undertaken by CGST Delhi West Commissionerate. One Shri Karan Kumar Aggarwal in his voluntary statements has admitted that he looks after all day-to-day transactions and operations of the said firm. The said firm has availed ITC of Rs 7.7 crore from non-existent entities. Through further inquiry and the use of ana..
In the administration of taxation, the provisions for arrests are created to tackle certain situations raised by some unscrupulous tax evaders. Arrest provisions may appear to be very harsh but these are necessary for efficient tax administration and also act as a deterrent and instil a sense of discipline. The provisions for arrests under GST Law have sufficient inbuilt safeguards to ensure that these are used only under authorisation from the Commissioner. Besides this, the GST Law also stipul..
On the basis of a specific complaint and careful data analysis, officers of the CGST Gurugram Commissionerate detected a case of fraudulent availment of ITC and consequent refunds of about Rs. 20 Crore in the name of 8 firms found to be non-existent. Investigation conducted thus far revealed the involvement of three persons. One private person was arrested on 06.05.2022 and was remanded to judicial custody upto 21.05.2022. Further, two Chartered Accountants were arrested on 18.05.2022 and h..
Two Chartered Accountants have been detained by DGGI, CGST Department Gurgaon from last 48 hours for giving a certificate in a GST refund matter. CAs took to Twitter with #JusticeforCA and have called for a protest at CGST department Gurgaon opposite Medanta hospital today This is oppression of noble professionals like CA’s. Must be condemned by everyone. Detaining CA’s for fault of asssessee is injustice pic.twitter.com/VhXkPsj3Yn — Dinesh Wadera (@dinesh..
CGST Commissionerate Mumbai South Arrests Co-conspirator in a Fake Input Tax Credit Claim of Rs. 11.07 Cr; Proprietor arrested earlier CGST Mumbai South Commissionerate has detected tax evasion of Rs. 876 Crores, recovered Rs. 14.4 Crores so far Mumbai, 26th April 2022 Anti-Evasion Unit of Mumbai South CGST Commissionerate has arrested the co-conspirator in a case of M/s New Laxmilal & Co. (GSTIN 27ACAPS6257K1ZS) involving fake ITC of Rs. 11.07 Cr on the strength of b..
CGST, Thane Rural Commissionerate arrests three persons in two cases related to fake availment and utilization of ITC In one of the cases, two accused were arrested on the ground that they were found actively involved in the racket of availing and utilizing fake/ fraudulent ITC under the name and style of a firm, by misusing the identity of a Rickshaw Driver. The accused had undertaken transactions in the firm with the sole intention of availing inadmissible credit and utilizing the same with..
CGST Delhi officials bust a syndicate of 7 firms in GST evasion of more than Rs 85 crore Through extensive analysis of E-way bills, CGST Delhi East Commissionerate had busted a syndicate of five firms who were engaged in availing and utilising fake Input Tax Credit (ITC) of Goods and Services Tax (GST). During further investigation it was found that this syndicate was using two more entities namely, M/s Shree Mahaveer International and M/s Gravity Enterprises. A communication was also rece..
CENTRAL GST COMMISSIONERATE, GHAZIABAD ARRESTS ONE PERSON INVOLVED IN A GST FRAUD CASE REGISTERED IN DECEMBER 2020 INVOLVING TAXABLE VALUE or RS. 628 CRORES AND AVAILMENT AND UTIMATION OP FAKE INPUT TAX CREDIT OF APPROX RS 99 CRORES On the basis of information shared by Chief Commissioner Office, COST & Customs, Meerut Zone, Meerut, CGST Commissionerate, Ghaziabad had initiated an enquiry in December 2020 against a firm M/s Jai enterprises and 36 other firms all based in Ghaziabad le..
2 held by Faridabad CGST Commissionerate for issuing fake invoices of over Rs 200 crore and availing involving fraudulent ITC of Rs 31.85 crore Central Goods and Services Tax (CGST) Commissionerate, Faridabad, of Panchkula CGST Zone, on 23.02.2022 arrested two persons for running a fake billing racket, involving five (5) dummy firms, dealing in trading of iron scrap, registered in Faridabad, Haryana, for issuance of fake invoices of over Rs 200 crore without actual supply of goods and availin..
Delhi South CGST unearths fake invoicing racket of Rs 611 crore involving tax evasion of 38.5 crore A specific intelligence was developed by the officers of Delhi South CGST Commissionerate concerning certain bogus firms that were created solely for the purpose of generating fake invoices and passing ineligible input tax credit along the chain. Searches and inspections were conducted across locations spread across Delhi, unearthing a cartel running 54 bogus firms registered in Delhi &..
CGST Navi Mumbai Commissionerate busts fake ITC racket of Rs. 10.68 Crore, arrests proprietor of a steel firm CGST Commissionerate, Navi Mumbai had busted a fake ITC racket of Rs. 10.68 Crores and arrested the proprietor of M/s. Navnit Steels (GSTIN: 27AEXPD3871K1ZV) on Wednesday (February 2, 2022). The firm has engaged in availing and utilizing a fraudulent Input Tax Credit (ITC) on the bogus invoices of Rs 60 Crore, thereby defrauding the government exchequer. A team of officer..
Background The Hon’ble Finance Minister, in Budget 2021-22, proposed changes vide the Finance Bill, 2021, that amends the Central Goods and Services Tax Act, 2017 ("the CGST Act") with respect to amendments in Section 74, 107, 151, 152 and 168 of the CGST Act. Accordingly, amended Bill was passed in Rajya Sabha, the upper house, and it received presidential assent vide Finance Act, 2021. Notification The CBIC vide Notification No. 39/2021- Central Tax dated Dec..
Background The Hon'ble Finance Minister, in Union Budget 2021-22, proposed changes vide the Finance Bill, 2021, that amends the Central Goods and Services Tax Act, 2017 ("the CGST Act") with respect to amendments in Section 129 and 130 of the CGST Act. Accordingly, amended Bill was passed in Rajya Sabha, the upper house, and it received presidential assent vide Finance Act, 2021. Notification The CBIC vide Notification No. 39/2021- Central Tax dated December 21, 2021 notif..
Background The Hon'ble Finance Minister, in Union Budget 2021-22, proposed changes vide the Finance Bill, 2021, that amends the Central Goods and Services Tax Act, 2017 ("the CGST Act") with respect to provisional attachment of property/bank account. Accordingly, amended Bill was passed in Rajya Sabha, the upper house, and it received presidential assent vide Finance Act, 2021. Notification The CBIC vide Notification No. 39/2021- Central Tax dated December 21, 20..
Based upon specific intelligence, the officers of the Anti Evasion branch of Central Goods and Service Tax (CGST) Commissionerate, Delhi (East) have unearthed a case of availment/utilization and passing on of inadmissible input tax credit (ITC) through bogus GST invoices without actual movement of goods of Rs 34 crore (approx). The 7 firms were created in order to generate bogus GST invoices with an intent to pass on fraudulent ITC without actual movement of goods and without paying actual GS..
The officers of Central Goods and Services Tax (CGST) Commissionerate, Delhi East, carried out the detailed analysis and unearthed a network of fictitious exporters who were availing and utilizing fake Input Tax Credit (ITC) of Rs 134 crore under the Goods and Services Tax (GST) with an intent to claim IGST refund fraudulently. On the basis of Risk Analysis, a risky exporter M/s Vibe Tradex was identified for scrutiny. M/s Vibe Tradex is engaged in export of Pan Masala, chewing tobacco, FMCG ..
Under GST, the Central Government collects CGST, SGST or IGST which is depend upon if the transaction is intrastate or it is interstate. On the off chance that the inventory of labor and products is being done inside the state then it is called as intra-state supply, and for this situation CGST and SGST will be gathered. Though if the inventory of labor and products is being done between two states then it is called as between state supply, and for this situation IGST will be gathered. It is ..
The CBIC has notified a new set of rules to amend the existing CGST Rules, 2017, which shall come into force as on the date of its publication in the Official Gazette (except provided otherwise). Now, let's have a look at the Amendments: Sr. No. Regulation Comments 1 Insertion: Rule 10A after the words "details of bank account", the words "which is in name of the registered..
The CGST Commissionerate, Faridabad, Haryana has arrested two Directors of M/s. F2C Wellness Pvt. Ltd., Faridabad on charges of illegally availing and passing on input tax credit (ITC) by issuance of invoices without supply of goods. On the basis of the investigation conducted till date, the said firm showed purchase of cement from non-existent concern namely M/s Vishal Enterprises, Gautam Buddha Nagar using fraudulent invoices not backed by concomitant supply of goods, showin..
The Goods and Services Tax authorities have unearthed over Rs 31,000 crore of tax fraud committed by misuse of input tax credit (ITC) provision under the Goods and Services Tax (GST) regime during the financial year 2020-21 and booked more than 7,200 cases involving fake ITC. This was stated by Union Minister of State for Finance Shri Pankaj Chaudhary in a written reply to a question in Rajya Sabha today. Giving details, the Minister stated Input Tax Credit (ITC) fraud detected by CGST format..