Central GST authorities outscore states in detecting fake invoices

Tuesday, 04 June 2019, 10:43 Hrs
cmt right
Comment Right
cmt right
cmt right
Printer Print Email Email

The central GST authorities have outscored their state counterparts in detecting cases of fake invoices for claiming input tax credit.

Compared to 225 such cases by states, the central GST officers caught hold of 396 incidents suggesting the latter are better equipped to enforce compliance.

"In a drive to curb tax evasion, CBIC (Central Board of Indirect Taxes (CBIC) has reported detection of 396 cases on fake invoices involving tax-evasion of Rs 5,887.54 crores. In the similar action all States/UTs have reported detection of 225 cases on fake invoice cases involving tax evasion of Rs 1,314.77 crores," the GST Council Secretariat has said in its monthly bulletin for May.

The GST body did not specify the period in which the cases of fake invoices were detected.

A tax expert said that the Centre always had better mechanism in place for apprehending tax evaders. Their success in detection of fake invoices is on expected lines and given the robust intelligence system created post GST roll-out, the central authorities will have edge over the state tax officials.

The issue of fake invoices has emerged as a big headache for the government with tax authorities finding more and more rackets. In a latest case, the enforcement authorities busted a racket of procuring and supplying fake GST invoices by five firms without actual supply of goods.

The Medchal Central GST Commissionerate under Hyedrabad zone found these firms had allegedly availed ineligible Input Tax Credit (ITC) to the tune of Rs 22.64 crore.

The Finance Ministry is wary of the revenue leakage and wants the indirect tax body CBIC to tighten screw around evaders. It has been holding marathon meetings to clamp down on firms involved in generating fake invoices.

"Once the systems of Income Tax Department and GST would start interacting with each other, it will be very difficult to create fake invoice and get away. The data-sharing exercise is on, "said a revenue department official.

Read more news:

Growth in infrastructure key for job creation

New AI system helps drones land more quickly


Source: IANS
Startup City
With cities growing rapidly and infrastructure not keeping pace, the daunting work com..
Yamaha Music India has launched its first Indian keyboard PSR I500 under the 'Make in India' initi..
Actor Dhanush, whose last Hindi release was R. Balkis "Shamitabh", may be working in another H..
To ensure uninterrupted functioning of the app in areas of low networks, Facebook-owned..
Les Roches Global Hospitality Education, a multi-national hospitality management institute, a..
India's tea exports increased by 11.5 per cent to 17.93 million kgs in April this year aga..
Automobile major MG Motors India on Wednesday said that it plans to manufacture electric vehicle E..
Imagine life being a romantic Bollywood song of the 90's. All those exotic frames punched into one..
Enterprise IT
Taking on streaming giants like Netflix and Hulu, Walt Disney Co. has announced it will ..