Punjab Excise Dept nabs GST fraudster for Rs 3.65 crore fake tax credit
In a major breakthrough, the Punjab Excise and Taxation Department in a joint operation with the Fatehgarh Sahib police has apprehended a GST fraudster for Rs 3.65 crore ingenuine input tax credit (ITC) claimed by him.
Punjab Finance, Planning, Excise and Taxation Minister Harpal Singh Cheema said a show-cause notice was served upon suspect Deepak Sharma by the Deputy Commissioner, State Tax, Ludhiana, on January 25, 2023, confronting him on the ingenuine ITC claimed by him, but he neither deposited the tax amount, nor submitted any reply.
Cheema said an order under the relevant section of the Act ibid was passed by the adjudicating authority on June 13, 2023, and a demand of Rs 11.75 crore created, including Rs 4.45 crore interest and Rs 3.65 crore penalty.
He further said an investigation was conducted by the Tax Intelligence Unit (TIU) and sales tax officers and it was found that Deepak had submitted a forged GST registration certificate to a bank. The minister said Deepak’s bank account was frozen and a recovery notice for Rs 26 lakh had been sent to the said bank.
