GST Evasion worth Rs.17 Crore detected in Mobile Phone Trade

The State GST Department discovered GST evasion totalling Rs.17.35 crore in the mobile phone trade across Gujarat. Search operations undertaken in October 2023 found 74 taxpayers making fraudulent input tax credit claims using fake invoices and third-party online purchases.

One taxpayer, M/s Balaji Mobile, confessed to evading Rs.2.8 crore but has only paid Rs.40 lakh thus far. Despite pledging to pay the remaining balance, the taxpayer failed to do so, causing the department to issue an adjudication notice in November 2024.

Earlier in this month, the State GST Department unearthing yet another large tax evasion case in Ahmedabad. This time, artificial flower dealers are accused of evading taxes of Rs.2.5 crore.

The GST department conducted a search operation on December 5 targeting 11 businessmen who trade in artificial flowers and ornamental things. During the search, it was discovered that these businessmen had evaded Rs.2.5 crore in taxes through unexplained sales and unreported stock. The entire liability for tax evasion and other irregularities amounted to Rs.3.50 crore.