Remedial measures necessary in GST with rupees 45683 crores frauds detected in GST since its inception on 01.07.2019
It refers to government-reply in Parliament that a total of 9385 cases of tax fraud involving amount of rupees 45683 crore has been detected by the tax authorities under the Goods and Services Tax (GST) regime since its rollout from July 1, 2017 out of which, 1,593 tax fraud cases involving an amount of Rs 6520.40 crore have been detected in April-June.
It has become a common practice to sell GST-invoices to those availing false Input Tax Credit (ITC) when consumers do not insist on taking invoices or leave these invoices by getting some petty discount. These unused GST invoices are purchased by manufacturers to avail false ITC further leading to creation of unaccounted money thus evading even Income Tax also.
ITC should be available only for trading purpose, and not for manufacturin...