2 years of GST: Over Rs 45,000 crore worth of frauds unearthed so far; what govt is doing to limit frauds

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Updated: July 18, 2019 1:53:13 PM

Taxmen unearthed Rs 45,682.83 crore worth of tax frauds under goods and services tax (GST) regime since its rollout on July 1, 2017, government data showed.

Of total, 1,593 cases were reported in the first three months of the ongoing fiscal, Minister of State for Finance Anurag Thakur told Parliament in a written reply.

Taxmen unearthed Rs 45,682.83 crore worth of tax frauds under goods and services tax (GST) regime since its rollout on July 1, 2017, government data showed. In April-June period of FY20 alone, an amount of Rs 6520.40 crore has been detected, the Finance Ministry told Parliament. A total of 9,385 cases of tax frauds were reported in the two years of GST implementation. Of total, 1,593 cases were reported in the first three months of the ongoing fiscal, Minister of State for Finance Anurag Thakur told Parliament in a written reply.

The Union minister also said that Rs 11,251 crore worth of cases of tax credit availment by issue of fake invoices were detected by the authorities in FY19. In April-June of FY20, Rs 2,805 crore  worth of cases were unearthed, he added. In the first year of GST implementation, only five cases of tax credit availment by fake invoicing came to light and two persons were arrested.

Preventive measures

Several measures have been taken by the government to curtail these kinds of frauds including sensitization of field formations of CBIC so as to keep an eye on these kinds of activities and take required action, he added.

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Analytical reports and intelligence inputs are disseminated to by a specialised directorate in the Central Board of Indirect Taxes and Customs (CBIC) engaged in Data Analytics & Risk Management to field formations of CBIC for the purpose of scrutiny, audit and enforcement, to check GST evasion, he added.

Meanwhile, GST collections narrowly missed crossing the Rs 1 lakh-crore mark in June 2019, standing at Rs 99,939 crore. The total gross GST revenue collected in June 2019 was recorded at Rs 99,939 crore. The government collected Rs 1.06 lakh crore in March, Rs 1.13 lakh crore in April, the highest-ever, and Rs 1 lakh crore in May.

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