Raid: GST evasion of 824 crores by insurance companies, searches in the premises of 15 companies, intermediaries and banks.
GST officials have caught tax evasion of Rs 824 crore by 15 insurance companies, intermediaries and banks. They were evading tax by issuing fake challans. Based on confidential information, GST Intelligence Officers of Mumbai Zone conducted searches at the premises of insurance companies, intermediary entities/branding companies and Non-Banking Financial Companies (NBFCs) in several cities.
During searches, it was found that these companies had availed Input Tax Credit (ITC) without supplying goods or services under the guise of marketing services, officials said. Along with this, they were also making fake challans in collusion with each other.
Several other cases were also detected during the search. These companies have so far paid only Rs 217 crore in tax. Investigation is going on in the matter.