Ludhiana: CGST department slaps Rs 22 lakh fine on factory owner

LUDHIANA: Continuing with its drive against tax evasion , anti evasion wing of Central GST commissionerate (CGST) the department conducted an operation against the people running network of door delivery of goods without paying tax.
In an action undertaken at Mandi Gobindgarh last week , department officials raided a casting unit and impounded 10 trucks loaded with scrap which were found without e-way bills and other mandatory documents. The trucks which had arrived at the factory to deliver iron and steel scrap were only released after department imposed and recovered Rs 22 lakh penalty and tax from the factory and truck owners.

Though repeated attempts to contact anti evasion wing's deputy commissioner Daljit Kaur failed but according to sources this is the first time that department had undertook such an action in which the trucks suspected of evading tax were trailed till the final destination and impounded with proof after they reached their destination.

Sources also said that department had received specific input about this kind of door delivery network and the tax evaders were under scanner for sometime but department had been keeping its operation under wraps waiting to strike at the right moment.

Notably ever since September CGST department's officials who until recently kept themselves away from the practice of conducting such checkings leaving it to state taxation department which too has similar powers. Ever since these actions were started by CGST department they have been able to bust various rings of tax evaders fleecing the government by adopting different tactics of evading tax. Recently on October 17th CGST department had intercepted 17 trucks carrying scrap worth Rs 51 lakh without legtimate documents and imposed penalties and tax amounting to Rs 18.41 lakh on these. Before this in another major action in September department's teams intercepted 11 trucks between Mandi Gobindgarh and Ladowal which were transporting lakh of rupees worth iron and steel by using similar method of tax evasion and the department imposed. tax and penalties to the tunes of Rs 14 lakh on the goods owners.