Ghaziabad Factory Caught in GST Evasion of Rs. 10 Crore

A company in Ghaziabad’s industrial area has been caught by the Commercial Tax Department. The company didn’t pay around Rs. 10 crore in GST. The company was raided by the department’s Special Investigation Branch (SIB) after getting a tip.

The company deals with the items such as gears, gearboxes, bearings, machine parts, tools, and environment-related equipment. During the raid, it was found that the company was selling goods without keeping the proper records. There was no stock register, and also, they didn’t have any valid e-way bills for the goods which were transported.

Even many employers had no idea who the company’s owner was or what the company is really doing. Officers also found the difference of Rs. 3 crore between the tax deducted and the income showed by the company to the government.

Early investigation also showed that the company might have not paid GST worth Rs. 10 crore. A laptop with important data was also found during the investigation. It was found that the company was making fake bills and using fake companies to increase its expenses to hide its actual income.

The department is going thoroughly to the details. Legal action has started, and they are calculating how much tax and fine the company has to pay under the GST law.

This case shows the seriousness of department to stop tax fraud. Officers mentioned that they will continue to use smart tools and data to catch companies who try to cheat and make sure tac rules are followed.