Excelsior Correspondent
Srinagar Mar 6: The Directorate of the Goods and Services Tax Intelligence has detected fraudulent input tax credit (ITC) claims totalling Rs 150 crore after a series of raids.
GST intelligence officials conducted raids at units in Jammu and Kashmir, Delhi and Uttar Pradesh, finding most of them to be fake companies.
The dummy firms had purportedly supplied goods worth Rs 1,500 crore to help claim ITC of about Rs 150 crore in the past two years.
The two Srinagar-based units used to get fake bills from the dummy firms and then claim ITC refunds from the Government.
One of such firm is owned by a Srinagar based Kashmir Art exporter. The GST team carried out the raid at Syedpora Eidgah in the residential house of a businessman Abdul Rashid Wani son of Ghulam Ahmad Wani two days ago.
Some personal documents of house owner and his family members were seized. Wani is dealing with Kashmir arts and conducts business in foreign countries and also across the country.
The accused had deposited Rs 6 crore with the GST authorities.
Officials said investigations are still in progress. Under ITC, manufacturers can deduct tax on inputs for their businesses from the amount that has to be paid to the Government.
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