In a major milestone, Directorate General of GST Intelligence (DGGI) — the premier Intelligence and Investigating Agency of GST tax evasion across the country, has detected GST evasion of ₹ 1.36 lakh crores during the current financial year so far involving voluntary payment of ₹ 14,108 crores.

Share Market Live

NSE

In a press statement on Wednesday, DGGI said, "Important sectors where detection was made are online real money gaming, payment of GST under reverse charge mechanism on import of manpower supply service from their overseas parent / holding company, co-insurance and re-insurance services provided by the insurance companies, clandestine clearances of tobacco products etc."

Apart from this, DGGI has also been able to curb fake Input Tax Credit (ITC) claims too in the country. "Since June 2023, special emphasis has been to identify and apprehend the masterminds and disrupt syndicates, operating across the country. In the first six months of the current financial year so far, a total of 1,040 Cases involving GST evasion of approx. ₹14,000 Crore ITC has been detected and a total of 91 fraudsters have been arrested," DGGI said.

According to DGGI, "Several cases have been booked using data analysis aided by advanced technical tools which lead to the arrest of Masterminds. These masterminds/ syndicates used gullible persons and enticed them with job / commission / Bank Loan etc. to extract their KYC documents which were for creation of fake/ shell firms/ companies without their knowledge. In some cases, KYCs were used with the knowledge of the concerned person by paying them small pecuniary benefits."

DGGI had initiated a special drive against fake ITC fraudsters to plug revenue leakage in November, 2020. "So far more than 6000 Cases involving more than ₹ 57,000 Crore GST evasion has been detected and a total of 500 persons have been arrested," DGGI said.

DGGI has been tackling the menace of duty evasion in the country. DGGI develops intelligence, especially in new areas of tax evasion through advanced tools of data analytics and its intelligence network across the country and disseminates such information.

Also Read:Tax uncertainty is back, say experts; arbitrary notices by DGGI to online gaming cos & casinos after 5 yrs not acceptable

(Edited by : Sangam Singh)

First Published:Oct 18, 2023 9:49 PM IST