Published on: August 04, 2025 11:55 pm IST
CGST Delhi South Commission’s Anti-Anti-Faval Branch has traced the input tax credit (ITC) racket on a large scale fraud.
GST officials have busted a racket which takes advantage of the input tax credit (ITC) from fraud. The Finance Ministry said on Monday that 47.12 crore in iron and steel sector.
CGST Delhi South Commission’s Anti-Ati-Festival Branch has traced the input tax credit (ITC) racket on a large scale, including city-based taxpayers engaged in trade of iron and steel items.
This case involves fake availability and pass pass on ITC clan 47.12 crore, on the basis of fake challan against almost one taxable value 261 crores, without any real supply of goods.
Acting on specific intelligence developed by the Anti-Invitation Wing, an investigation was initiated in a suspected supply chain.
Investigation revealed that the firm had taken advantage of fraud and passed on ITC without any actual movement of goods. Further investigation established that the firm had taken advantage of ITC from GSTIN, canceled and suspended in the gross violation of the provisions of the CGST Act 2017.
During a discovery conducted under the GST law, the firm was found to be non-functional at the declared place of its declared business. An official statement said that the proprietor was arrested on 1 August 2025.
