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Fatehgarh Sahib man held for ₹3.65-cr GST fraud
A Fatehgarh Sahib resident was arrested for allegedly committing a ₹3.65 crore goods and service tax (GST) fraud
A Fatehgarh Sahib resident was arrested for allegedly committing a ₹3.65 crore goods and service tax (GST) fraud on Sunday.
Finance, planning, excise and taxation minister Harpal Singh Cheema said that deputy commissioner (state tax, Ludhiana) had served a show-cause notice to the accused, Deepak Sharma, on January 25, 2023, over claiming an ingenuine input tax credit amounting to ₹3.65 crore, but he neither deposited the tax nor submitted any reply. Therefore, the adjudicating authority on June 13, 2023, generated a demand for ₹11.75 core, of which ₹4.45 crore was interest and ₹3.65 crore was the penalty.
An investigation conducted by the taxation intelligence unit (TIU) and sales tax officers revealed that Deepak Sharma had submitted a forged GST Registration Certificate to the bank, said Cheema, adding that his bank account had been frozen on the request of the Fatehgarh Sahib sale tax officer. A recovery notice of ₹26 lakh was sent to the bank.
A special task force constituted by the State Goods and Service Tax Department, conducted simultaneous raids in a joint operation with the Fatehgarh Sahib police at multiple locations linked to the accused. “Authorities are in the process of identifying and pursuing all entities involved in this fraud and an FIR has been registered,” he said.
Finance commissioner taxation Vikas Partap said that the department has been working on a data analysis software to identify those who generate fake input tax credit to commit GST fraud.
