GST authorities find network of 23 firms that showed fake invoices worth Rs 551 crore

34
0
SHARE
States GST

Since November 2020, the Central Board of Indirect Taxes and Customs (CBIC) has begun a crackdown on bogus GST invoices created to passing inadmissible input tax credit.

Petrol and diesel prices today on July 12: Petrol hiked again

Goods and Services Tax (GST) authorities in Delhi have busted a network of 23 firms that showed fake invoices worth Rs 551 crore, to falsely claim an input tax credit of Rs 91 crore.

“The firms involved in this network are M/s Girdhar Enterprises, M/s Arun Sales, M/s Akshay Traders, M/s Shree Padmavati Enterprises, and 19 others. These 23 firms were floated in order to generate goods-less invoices with an intent to pass on fraudulent ITC without paying actual GST to the government,” the statement said.

Three people – Shubham Gupta, Shri Vinod Jain, and Shri Yogesh Goel – were arrested in the case on July 10, and will be in police custody for 14 days. Further investigation into the case is ongoing.

The modus operandi involved floating multiple firms with the intent to avail/utilize & passing on of inadmissible credit, the ministry said.

The three individuals committed cognizable and non-bailable offences under Section 132(1)(b) and 132(1)(c) of the CGST Act, 2017, the ministry said.

Since November 2020, the Central Board of Indirect Taxes and Customs (CBIC) has begun a crackdown on bogus GST invoices created to passing inadmissible input tax credit.

Anurag Singh Thakur, who was Minister of State for Finance until the recent Cabinet reshuffle, on July 1 said that the enforcement drive has detected cases of fake input tax credit and evasion of GST of more than Rs 29,000 crore.

RBI asks banks to send key employees on 10 day