Tax Evasion Through Fake Invoice and action by Government.

There  are some persons they never do hard work for earn money like beggar, dakaiti, chori, loot, and cheat other person..  Now a new version of dakaiti,chori, loot active in  GST market. They generate fake invoice and take refund or  claim input tax credit. In a information, the CBIC said that it has so far registered about 12,000 cases of input tax credit fraud and arrested 365 people, yet it is a challenge for the government to curb the fake invoice as usually fake invoices are generated such manner they never identified  it is a great challenge   for government.

 

What is fake invoice ?

As you know fake mean forged, counterfeit, trellis, Fake, Factitious, Gauze other word a thing which is actually does not exist. Any person raised  invoice without actually supply of  goods and services or payment of GST. There are  many reasons some are following

1. To claim refund

2.To claim input tax credit

3.Transfer credit to other person without actually supply of  goods and services or payment of GST.

4.showing excess turnover

5. other reason