Coaching centres face DGGI probe for tax evasion
DGGI is probing potential tax evasion of Rs.850 crore by large coaching centres in 2020-21 and 2021-22. Officials suggest misdeclaration of enrolments and non-payment of tax after collection. The investigation, initiated in January 2023, targets numerous coaching centres across India. Around 145 large and mid-sized centres are under scrutiny, including those for medical, engineering, and entrance exams like IELTS and GRE.
The Directorate General of Goods and Services Tax Intelligence (DGGI) has initiated a probe into possible tax evasion of Rs. 850 crore in 2020-21 and 2021-22 by some large commercial coaching centres and could soon issue show cause notices to them, said officials.
The investigation relates to misdeclaration of the number of enrolments and non-payment of tax to the exchequer after collection, they said.
