Tax Professional held for Generation of Fake Invoices worth Rs.132 Crore

In the event of the generation of fake invoices that amounted to Rs.132 Crore by the GST Professional, the CGST official made an arrest.

The CGST Belagavi Commissionerate discovered a fake invoicing racket managed by a tax professional through his own firm and managing accounts for other firms. The tax professional admits to generating fake invoices for Rs.132 crore and passing fake ITC worth Rs.23.82 crore without underlying supplies.

The consultant, being the mastermind of the tax fraud, has been arrested. CBDT Chairman, Shri Sanjay Kumar Aggarwal applauded the efforts of CGST Belagavi’s officers.

In another case, GST officials have arrested a 31-year-old man for his alleged involvement in creating fake firms using stolen or fake identities to claim an input tax credit (ITC) as part of a Rs. 10,000 crore GST fraud. The accused, identified as Babar Khan had been missing from nine months and carried a reward of Rs. 25,000 on his arrest. On June 1, 2023, Noida police arrested a gang suspected of carrying out a Rs. 10,000 crore GST fraud. The gang’s operation entailed creating hundreds of shell companies to generate expressway (e-way) bills and get ITC from the government. During the probe, police discovered that over 2,000 fake organizations were created using fake Aadhaar and PAN cards and utilized to obtain ITC.