GST Fake Invoice Racket of Rs 25.7 crore Busted by Mumbai GST Department

Mumbai GST Department has busted a Fake Invoicing Racket of Rs 25.7-crore

GST Fake Invoicing

CA Pratibha Goyal | Mar 8, 2024 |

GST Fake Invoice Racket of Rs 25.7 crore Busted by Mumbai GST Department

GST Fake Invoice Racket of Rs 25.7 crore Busted by Mumbai GST Department

Mumbai has seen the busting of a phony Goods and Services Tax (GST) invoice racket that was used to falsely claim an input tax credit (ITC) of Rs 25.73 crore.

Kiran Kantharia, one of the accused in the case, has also been taken into custody by the CGST (Central Goods and Services Tax) Investigation Wing.

After receiving intelligence, the authorities looked into Hacnup Trading (OPC) Private Limited, a private corporation, but discovered it didn’t exist. The company’s director, Nilesh B. Shah, admitted to the authorities that, at the behest of Kiran Kantharia and Manish Shah, he had created numerous other fictitious companies engaged in input tax credit fraud.

Kiran Kantharia was arrested by the authorities, and they claimed that during questioning he confessed to committing the crime of obtaining fictitious tax credits through phony businesses at Manish Shah’s command.

According to officials, the investigation found that these fraudulent organizations used fictitious invoices to obtain input tax credit of Rs 14.70 crore without providing any products or services, and they also passed on ineligible input tax credit totaling Rs 11.02 crore.

According to the applicable CGST Act requirements, Kantharia was placed under arrest.

StudyCafe Membership

Join StudyCafe Membership. For More details about Membership Click Join Membership Button
Join Membership

In case of any Doubt regarding Membership you can mail us at [email protected]

Join Studycafe's WhatsApp Group or Telegram Channel for Latest Updates on Government Job, Sarkari Naukri, Private Jobs, Income Tax, GST, Companies Act, Judgements and CA, CS, ICWA, and MUCH MORE!"

Author Bio
My Recent Articles
CA Result Live: CA Final and Inter Exam May 2024 Result out; Know Toppers and Pass Percentage Penalty for Late Filing of Income Tax Return of FY 23-24 Jail for not filing ITR: Who has to mandatory file Return of Income Tax No Tax Liability, but penalty of Rs. 5000 applicable for not filing ITR: Know More NPS Tax Deduction available under New and Old Income Tax Regime: Know MoreView All Posts