The Pune Zonal Unit of DGGI has uncovered a GST evasion scheme involving ₹1,196 crore, arresting one individual. A director of a private firm based in Muzaffarnagar as been identified as the mastermind behind the operation.
Read MoreSource: https://taxguru.in/goods-and-service-tax/gst-taxpayers-stay-alert-protect-gst-phishing-scams.html
The Goods and Services Tax Network (GSTN) has issued a crucial alert regarding a surge in phishing attacks targeting GST taxpayers. These attacks aim to steal sensitive personal and financial information, potentially leading to fraud and financial loss. This article details the nature of these phishing attempts, provides tips on how to identify them, and outlines the steps you can take to protect yourself.
Read MoreNew Delhi: Tax incentives for green mobility should continue for the benefit of consumers, according to the India head of Toyota Kirloskar Motor Pvt. Ltd, as the company continues to focus on electric and ethanol-powered vehicles.
Read MoreNEW DELHI : The Central Board of Indirect Taxes and Customs (CBIC) has told field officers that businesses which have paid tax dues in time are eligible for relief on interest and even penalty where the department has gone on appeal.
Read MoreNew Delhi, Feb 10 (PTI) GST evasion of over ₹1.88 lakh crore was detected by Central GST officers during April-December 2024, the Lok Sabha was informed on Monday.
Read MoreSource: https://taxguru.in/goods-and-service-tax/gst-collections-impact-income-groups.html
Government of India provided details on GST collections over the past five financial years, showing a steady increase in revenue from both domestic sources and imports. However, it does not maintain data on the proportional contribution of different income groups to GST payments. In response to concerns about the tax burden on economically weaker sections, the government clarified that GST rates are not based on consumer income levels but have been structured to exempt or lower taxes on essential goods primarily used by lower-income groups. Any changes to GST rates or exemptions are made based on recommendations from the GST Council, which includes representatives from both the central and state governments. The Council periodically reviews and amends tax rates to ensure fair implementation.
Read MoreSource: https://taxguru.in/goods-and-service-tax/drilling-borewells-agricultural-purposes-exempt-gst.html
Government of India has reaffirmed that drilling borewells for agricultural purposes remains exempt from GST. This exemption was carried over from the Service Tax regime, where such services were included in the negative list under Section 66D(d)(i) of the Finance Act, 1994. Under GST, the exemption continues through Notification No. 12/2017-CT(R), specifically under Sl. No. 54(a), covering services directly related to agricultural production. The Rajya Sabha inquiry sought clarity on guidelines for smooth implementation and concerns over potential misinterpretation leading to undue taxation. In response, the government clarified that any such guidelines or clarifications would be issued only upon recommendation by the GST Council, which includes representatives from both central and state governments. As of now, no such recommendation has been made.
Read MoreSource: https://taxguru.in/goods-and-service-tax/tax-collected-tobacco-products-2016-2024.html
The share of tax revenue from tobacco products, including cigarettes and bidi, in India’s Gross Tax Revenue ranged from 1.27% in 2016-17 to a peak of 2.75% in 2019-20, before settling at 2.2% in 2023-24 (based on revised estimates). This includes GST, excise duty, compensation cess, and other levies. The Government does not earmark tobacco tax revenue for healthcare but uses it as part of the overall Gross Tax Revenue. In Budget 2024-25, ₹87,657 crore has been allocated to the Department of Health and Family Welfare, funded from general government receipts.
Read MoreIn the 55th GST Council meeting held on December 21, 2024, in Jaisalmer, the Group of Ministers (GoM) on Life and Health Insurance requested additional time to finalize their recommendations regarding reducing GST on health and life insurance premiums. The GST Council approved this request, deferring any decisions on the matter until the GoM submits its finalized report. As of now, no changes in GST rates on these insurance premiums have been made.
Read MoreSource: https://taxguru.in/goods-and-service-tax/gst-evasion-punjab-cases-arrests-government-measures.html
Between July 2017 and December 2024, 1,386 cases of GST evasion were recorded in Punjab, involving approximately ₹6,454 crore. Authorities arrested 72 individuals linked to these cases. To address GST evasion, the government has implemented multiple measures. These include restricting input tax credit (ITC) to invoices listed in the supplier’s GSTR-1 and visible in GSTR-2B, mandating sequential filing of GSTR-1 before GSTR-3B, and enforcing electronic invoicing for B2B transactions for businesses with over ₹5 crore turnover. Additionally, Aadhaar-based biometric authentication for GST registration is now risk-based and extended nationwide. Applicants not opting for Aadhaar authentication must visit GST Suvidha Kendras for photo and document verification. High-risk applications may undergo physical verification even after Aadhaar authentication. Other steps include centralized suspension of non-compliant registrations and penalties for masterminds of GST fraud schemes. Bank account details must also be furnished within 30 days of registration or before filing outward supply details. These efforts aim to ensure robust compliance and reduce GST evasion.
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