The Central Goods and Services Tax (CGST), Navi Mumbai, has arrested a representative of a metal scrap trading firm, M/s G. S. Steel, for having availed and utilised fictitious Input Tax Credit (ITC) amounting to Rs 5.13 crore against bogus invoices without supply of goods.
A probe by the CGST found that the firm had been availing fraudulent Input Tax Credit based on bogus invoices from eight suppliers and all were found to be non-existent. As per Section 132 of the CGST Act, 2017, the issuance of an invoice or bill without supply of goods or services and wrongful availment or utilisation of Input Tax Credit is a cognisable and non-bailable offence if the amount is over Rs 5 crore.
