Tax credit scam: Chandigarh administration to scan entries of firms in Punjab, Haryana, Delhi

CHANDIGARH: The UT administration has decided to check sale and purchase entries made by firms involved in a tax credit scam of crores of rupees in neighbouring states of Punjab, Haryana, Himachal Pradesh and Delhi.
Recently, the excise and taxation department unearthed the scam after conducting searches at different business premises of six companies. Around 15 more companies are under the radar of the department expecting the scam could be over Rs 100 crore.
Earlier, the department had carried out its exercise to check and scrutinise documents of SR Agencies, Global Home Solutions, Rajat Enterprises, Polytech and Euro Sales and Amba Agencies, all having offices in Manimajra According to officials, all these companies deal in pipes and tiles. Rajesh Behal is the partner in SR Agencies, and proprietor of Global Home Solutions. Similarly, Behal is the proprietor of Rajat Enterprises, Polytech and Euro Sales. Likewise, Monika Garg is proprietor of Amba Agencies. The two are relatives and connected with each other, and allegedly involved in fraudulently goods and service credit by circular trading.
An official said all these six firms conducted sale of Rs 61crore under the GST but did not pay even a single amount of tax to the government and adjusted against manipulated input tax credits. All these firms have not been filing their GSTR-3B monthly tax returns from February.
During the searches, five offices were found closed.