Photo used for illustration function solely. Over 29,000 bogus firms, concerned in evading GST dues of greater than ₹44,000 crore, have been busted over the previous seven months, resulting in 121 arrests, the Finance Ministry stated on January 7. File
Over 29,000 bogus firms, concerned in evading Goods and Services Tax (GST) dues of greater than ₹44,000 crore, have been busted over the previous seven months, resulting in 121 arrests, the Finance Ministry stated on January 7.
This is a results of a particular drive in opposition to faux invoices equipped by non-existent firms, being carried out by the Central Board of Indirect Taxes and Customs with State governments. Fake invoices are utilized by firms to avail enter tax credit score (ITC) with none underlying provide of products and providers going down.
“Since the initiation of the special drive against fake registrations in mid-May 2023, a total of 29,273 bogus firms involved in suspected Input Tax Credit (ITC) evasion of ₹44,015 crore have been detected. This has saved ₹4,646 crore of which ₹3,802 crore is by blocking of ITC and ₹844 crore is by way of recovery,” the Ministry stated.
41 arrested
In the October to December 2023 quarter, 4,153 firms had been detected which had been concerned in suspected ITC evasion of round ₹12,000 crore. “This has protected revenue of ₹1,317 crore of which ₹319 crore has been realised and ₹997 crore has been protected by blocking ITC. Forty-one persons were arrested in these cases,” the Ministry stated.
To strengthen the GST registration course of, a number of measures have been taken, together with the launch of pilot initiatives of biometric-based Aadhaar authentication in Gujarat, Puducherry and Andhra Pradesh.
