CGST arrests chartered accountant
The officers revealed fake input tax credit of Rs.92 crores
CGST arrests chartered accountant The officers revealed fake input tax credit of Rs.92 crores The officers of the Central Goods and Services Tax (CGST), Thane (Rural) Maharashtra Commissionerate have arrested a chartered accountant (CA) for generating fake input tax credit (ITC) to the tune of Rs.92 crores. It involved fake invoices of over Rs.500 crores without actual receipt of...
CGST arrests chartered accountant
The officers revealed fake input tax credit of Rs.92 crores
The officers of the Central Goods and Services Tax (CGST), Thane (Rural) Maharashtra Commissionerate have arrested a chartered accountant (CA) for generating fake input tax credit (ITC) to the tune of Rs.92 crores.
It involved fake invoices of over Rs.500 crores without actual receipt of goods. The investigation revealed that the man had used the identity of a housewife to create a firm named Shraddha Electricals located at Ambernath (Thane).
The investigation revealed that a group of persons, including the CA, were engaged in a racket of generating fake ITC without any movement of goods. After detailed interrogation and admission by the CA that he had violated the provisions of the CGST Act, the officers arrested him.
He was produced before the Additional Chief Metropolitan Magistrate, Mumbai and the court remanded him to judicial custody for 14 days.
The case was a part of a special anti-evasion drive launched by CGST, Mumbai Zone, which involves intensive data mining and data analytics using various Information Technology tools. The motive behind the drive was to help the honest and compliant taxpayers to kill the unfair competition generated by fake ITC.