ED Raids Multiple States in Rs 658 Crore Fake GST Invoice Scam:

ED Raids Multiple States in Rs 658 Crore Fake GST Invoice Scam The Enforcement Directorate (ED), on Tuesday, carried out raids in several states in connection with a GST ITC fraud case worth Rs 658 crore. The scam started in Arunachal Pradesh and involves fake GST bills that were used to wrongly claim input tax credit. The Authorities are conducting searches at several locations in Jharkhand, West Bengal, and Manipur. These locations belong to people and companies connected to the case. The searches are part of an investigation under the Prevention of Money Laundering Act (PMLA), officials said. Input Tax Credit (ITC) is an important mechanism under the GST Act, which enables businesses to claim credit for the GST paid on purchases against the GST liability on their sales, preventing the cascading effect.

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