- A GST refund scam worth over ₹42 crore has been discovered in India, with one person arrested so far.
- The Commercial Taxes Department is investigating eight such cases.
- The scam involved fraudulent claims of purchasing auto spare parts, transporting and assembling them into electric bikes, and then selling them, all of which were false.
- The accused claimed a 13% GST refund based on these false transactions.
- The director of Vinardh Automobiles Pvt Ltd is among the accused and has been arrested.
- Efforts are ongoing to recover the amounts falsely claimed as refunds.
- A new circular has been issued to ensure better scrutiny of GST refund claims and prevent fraudulent or ineligible claims.
Source: thehindu.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
