Fake GST Scam: Cafe in Nagpur Accused of Cheats People by Charging GST

Eating at restaurants has gotten more expensive after the Goods and Services Tax (GST) was implemented in 2017. Nonetheless, the majority of customers still pay the bill at the restaurant without first verifying that the GST charged is even valid or not.

Recently, a netizen reported that despite having had its GSTIN number cancelled, the Shraddhanandpeth cafe “Seven O’Eleven” had continued to charge GST to its customers on the final sum.

The eatery has been accused of defrauding customers and issuing and accepting bogus bills, which might lead to charges under Indian Penal Code.   According to a source, the maximum term for a cheating case under section 420 of the IPC is seven years, however the same is ring-fenced to five years in the GST law.

Simply put, the restaurant has been making additional money through all of the improper channels and lining their pockets.