new Delhi Goods and Services Tax (GST) officials in Mumbai have arrested the owner of a firm engaged in the metal scrap business for allegedly using fraudulent tax credits. 100 crore, an official statement from the Finance Ministry said.
The Central GST Commissionerate in Navi Mumbai busted a fake input tax credit racket, the statement said. The amount of fraudulent credit used by the firm is approximately Rs. 21 crores.
The ministry statement claimed that a team of officials in Mumbai conducted an inquiry against the firm and the investigation revealed that the taxpayer had availed and passed on fraudulent input tax credit from various non-existing and bogus firms.
The owner was arrested under the provisions of the CGST Act for the alleged offenses and has been sent to judicial custody for 14 days by a local court.
The case is a part of an anti-evasion drive launched by CGST, Mumbai Zone against fraudsters and tax evaders who are creating unhealthy competition for the compliant taxpayers and the exchequer, the statement said. are cheating. As a part of this campaign, Navi Mumbai Commissionerate has detected tax evasion of approx. 500 crore has been recovered. The statement said that 20 crores and recently 13 people have been arrested.
Using data analysis and network analysis, officials of CGST Mumbai zone have registered more than 625 tax evasion cases, detected tax evasion of Rs. 5,500 crore recovered. 630 crore and have arrested over 50 people in the last five months, the statement said, adding that this will further intensify the operation.
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