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gst: DGGI collects 74.86 rupees from cigarette makers to avoid GST

In a crackdown on a major tax evasion, the GST Directorate of Intelligence (DGGI) has recovered Rs 74.86 from a prominent cigarette maker based in the Ahmed Nagar district of Maharashtra, officials said Tuesday.

According to a release released by DGGI, a search was conducted in April at various offices of Sangamnell-based manufacturers and suppliers based on specific information.

Unmanufactured tobacco attracts the highest Goods and Services Tax (GST) tax rate. This is roughly equal to the value of the goods, and it is stated that there is room for extensive tax evasion in this sector.

Unproduced tobacco GST is 28% plus 71% compensation tax. Several convicted documents and computerized records were confiscated, and analysis revealed that the company wiped out large quantities of unmanufactured cigarettes without paying GST.

Further investigation revealed that the company paid GST (5% GST) for tobacco leaves procured directly from farmers, which was significantly avoided on a reverse billing basis.

The brand is popular nationwide and its products are consumed in large quantities not only in Maharashtra but also in many other states, he said.

The company announced in April that it had successfully paid Rs 7.486 billion in cash and paid some interest.

gst: DGGI collects 74.86 rupees from cigarette makers to avoid GST

Source link gst: DGGI collects 74.86 rupees from cigarette makers to avoid GST

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