Rourkela: The Goods and Services Tax (GST) Department has served a notice to a driver in connection with a fraud. The GST department has asked him to pay Rs 4.31 crore as fine. The driver on the other hand has denied his involvement in any kind of business.
The driver, Rajedra Pallai of Sector 20 area has been charged with gross tax liability under Section 74(5) for allegedly receiving taxable goods amounting to Rs 23.96 crore and further availing Rs 4.31 crore under CGST and SGST on the strength of fake invoices.
“It has come to the notice that the said person (Pallai) received taxable goods amounting to Rs 23,96,64,843 and availed Input Tax credit of Rs 2,15,69,836 under CGST and 2,15,69,836 under SGST respectively on the strength of tax invoice during January 2018,” the notice read.
“In the course of the investigation into the business activities of the said taxpayer, it was ascertained that the concerned taxable entity is a nonexistent one. As the supplier is nonexistent, the ITC availed on the strength of the invoices issued by such taxpayer is fake and without the actual receipt of goods. Hence ITC claimed on the strength of such fake invoices is subject to penal action under Section 74 of the Odisha GST Act 2017,” it further stated.
However, Pallai said that he came to know about this matter only after getting the GST’s notice. “A forgery has been committed in my name. A thorough investigation is necessary to unearth the fraud and book the accused,” said Pallai.