Man Arrested in Gujarat for Rs 177 Crore GST Fraud
The man arrested allegedly floated 66 fake companies with as many dummy owners in whose name he issued tax invoices to claim input tax credit (ITC), it said.
Image for representation (Photo courtesy: AFP)
Ahmedabad: A man has been arrested for allegedly issuing fake invoices to claim Rs 177.64-crore input tax credit, the Central GST department said on Saturday.
The man, identified as Ehsas Ali Saiyad, a resident of Vadodara, was the mastermind of a scam involving issuing of fake invoices, said the office of the Central GST and Central Excise Commissionerate in a release in Gandhinagar.
The 29-year-old allegedly floated 66 fake companies with as many dummy owners in whose name he issued tax invoices to claim input tax credit (ITC), it said.
The accused obtained GST registration, GST identity cards, login-password, SIM cards, bank accounts and online passwords in the name of these dummy owners, said the commissionerate.
"The accused would issue fake bills in the name of the entities created by him. He issued tax invoice of taxable value of Rs 1,210 crore to claim input tax credit of Rs 177.64 crore," it said.
He was arrested under provisions of the CGST Act and further investigation was on, said the release. Under Goods and Services Tax, input credit is the tax benefit manufacturers get for the GST they pay on purchase of goods. Unscrupulous elements use fake bills to claim higher ITC.
Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.
Recommended For You
- Salman Khan Turns Chef, Makes 'Khichdi' and 'Raita' in New Bigg Boss 13 Promo
- Denmark Buys 4 Elephants from Circus to Protect Their Rights and Welfare
- 2020 Women's U-17 FIFA World Cup to be Held in India from November 2-21
- Your Data, Location Might be Tracked with This SIM Card Flaw, Without Your Knowledge
- Apple TV Plus Shows, Prices Compared with Netflix, Amazon Prime Video, Hotstar, Zee5