Indore: The State Goods and Service Tax Department (SGST) conducted a state wide raid on suspicious iron and steel products manufacturing companies on Friday. Even the mobile checking units of the Department seized 25 iron and steel produced loaded trucks across the state including 15 truck from the city. The firms were inventories without bill and builty and drawing Input Tax Credit (ITC). From the action about Rs 10 crore tax evasion is likely to reveal.
This is the first major action of SGST Department in the New Year against the companies involved in drawing the fake ITC. A high ranking official sources informed that the it was a coordinated action of all departments and wings of the SGST including Anti-Evasion Bureau, Mobile Checking Units and Divisional Teams, which was carried out across the state. Mobile units catch and seized 25 trucks loaded with iron scrap and Steel TMT bars. The truck were coming from Gujarat, Maharashtra and Chhatisgarh and supplying to different cities of the state including Jabalpur, Gwalior, Stana, Reewa, Indore, Bhopal and some other cities. The mobile units seized 25 trucks including 15 from the city.
Apart from this the office of a prominent Iron and Steel units of the city was also under the raid. Sources informed that computer, laptops and some documents have been sized from there. The action concluded on Saturday.
Drawing fake ITC and making Inventory without bill & builty: Sources informed that data analysis revealed that some rolling units of the State were involved in No.2 trade. They were making the inventory without bills and builty and drawing huge amount of ITC from the department. As per the initial estimate about 9 units of the state including one from the city have so far drawn ITC worth Rs 10 crore.
