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Nov 17, 2020

Law Committee of GST Council to meet on Nov 18 to discuss fake invoices

An urgent meeting of the Law Committee of the Goods and Service Tax (GST) Council has been convened tomorrow in New Delhi to discuss in detail the issue of fake invoices to claim input tax credit under the indirect tax regime.
The meet will deliberate on ways of further tightening of the GST registration process and work out other legal measures including necessary law amendment required in GST Act to do away with the menace of fake invoicing.
This meeting is part of the nationwide drive against the GST fake invoice frauds under which in last four days Directorate General of GST Intelligence (DGGI) has arrested 25 persons including two professionals, identified about 1180 entities and booked 350 cases against unscrupulous elements involved in availing and passing on of ineligible input tax credit (ITC) fraudulently.
The fake invoices were not only issued for availing or passing on of the ITC but were also used as a conduit for nefarious activities leading to tax evasion, massive bank loan fraud, money laundering and hawala transactions.

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