The Central Goods and Services Tax (CGST) officers have uncovered tax evasion cases worth a staggering Rs 1.95 trillion in the first ten months (April-January) of the current fiscal year, as per data shared in the Lok Sabha on Monday.
The number of GST evasion cases detected during this period stood at 25,397. Notably, taxpayers voluntarily deposited Rs 21,520 crore in these cases, indicating ongoing efforts to curb fraudulent activities.
GST Evasion Cases Over the Years
According to official data from the GST Investigation Wing, the total GST evasion detected in the last five years amounts to Rs 6.79 trillion across 86,711 cases. The breakdown of tax evasion detected in previous years is as follows:
- 2023-24: Rs 2.30 trillion across 20,582 cases
- 2022-23: Rs 1.32 trillion
- 2021-22: Rs 73,238 crore
- 2020-21: Rs 49,384 crore
ITC Fraud Cases and Voluntary Deposits
Among the 25,397 cases detected in the current fiscal, 13,018 cases were related to Input Tax Credit (ITC) fraud, involving an amount of Rs 46,472 crore. Taxpayers made voluntary deposits of Rs 2,211 crore in such cases, underscoring the government’s intensified crackdown on fake ITC claims.
Government Measures to Curb GST Evasion
Minister of State for Finance Pankaj Chaudhary highlighted the proactive steps taken by the Central Government and GSTN to enhance compliance and prevent tax evasion. These measures include:
- Providing intelligence inputs to detect fraudulent registrations.
- Monitoring suspicious e-way bill activities.
- Selecting returns for scrutiny and taxpayers for audits based on risk parameters.
Chaudhary also emphasized the impact of ‘Project Anveshan’—an initiative leveraging analytics and verification techniques such as Facial Recognition System (FRS) and e-way bill data to identify fraudulent GSTINs early and generate intelligence reports.
