UPSC CSE – SYLLABUS – GS – 3- Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment

Fraudulence in GST Invoice

In news:

In the last one month, the Directorate General of Goods and Services Tax Intelligence (DGGSTI) across the country has arrested over 100 people and booked 3,479 entities in 1,161 cases for illegally availing or passing on input tax credit (ITC) by using fake GST invoices, and causing loss to the exchequer.

Tax officials said the use of fake invoices to wrongfully avail ITC credit has been gradually increasing and has become a concern for the government, especially at a time when revenue collection is depressed.

Ways of the fraudsters:

Why it surged now:

Way forward:

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Source:” Indian Express”.

POSSIBLE UPSC MAINS EXAMINATION:

Why is there a surge in fraudulence in GST invoicing? What measures are needed to curb them?