A man has been arrested in Maharashtra's Thane district for his alleged role in a GST (Goods and Services Tax) credit fraud worth ₹47.32 crore, an official said on Thursday.
According to a release by the Thane commissionerate of Central GST, “The case was detected using internally developed intelligence and advanced data analysis tools, which revealed that M/s KSM Enterprises, run by Vivek Rajesh Maurya, had fraudulently claimed and passed on ITC without any actual supply of goods or services.”
Under the GST system, ITC (input tax credit) is a mechanism that allows businesses to offset the tax they pay on their purchases against the tax they collect on outputs, thus preventing double taxation.
The CGST release said that a “search” at Maurya’s residence led to the recovery of “incriminating” evidence like bank passbooks, chequebooks, mobile phones and “documents linked to several fraudulent firms”.
Maurya was arrested on August 19 and produced before a judicial magistrate, who remanded him in judicial custody for 14 days, the release said.
{{/usCountry}}Maurya was arrested on August 19 and produced before a judicial magistrate, who remanded him in judicial custody for 14 days, the release said.
{{/usCountry}}The authorities said that more names could surface as investigations continue.