Odisha: Tax department to conduct special drive to detect fake firms from Friday

BHUBANESWAR:  Amid increasing fraud involving fake input tax credit (ITC), the Commissionerate of Commercial Tax and GST will conduct a special drive for inspection of firms post GST registration from Friday.

All registrations granted from April 2020 to June this year by the State Tax authority will be inquired into during the two-month long drive, which will continue subsequently cover all previous tax periods till July 1, 2017.

A workshop was conducted through video conferencing with all field functionaries on Thursday and SOP shared with them on conducting the drive. Each circle has prepared a detailed plan for the drive and have been asked to submit a regular progress report to the State office.

Commissioner of CT and GST Sushil Kumar Lohani said the tax officials will check the genuineness of place of business and verify the mandated documents including books of account. "Any dealer found deviating from the rules will be issued a show-cause notice to present their case before cancellation. All the taxpayers are required to extend full cooperation to the officers of the State GST department visiting their business premises during the special drive," he said.

If any taxpayer faces any issues during the drive, he/she can contact the toll-free helpdesk number of Commissionerate of CT and GST at 1800-345-6753.

As many as two lakh new firms have come into the GST tax fold till June. Although many such registrations are genuine taxpayers doing business, a few fake dealers also register to generate/pass on fake credit.

Sources said since the GST registration is online, it is difficult to check the genuineness during the time of registration. In the past, the enforcement wing of the Commissionerate had detected fake taxpayers, engaged in unscrupulous activities by generating/passing or availing fake credit with the help of forged invoices.

The enforcement wing has detected a number of cases and arrested 18 masterminds for their alleged involvement in generating and availing around Rs 900 crore of fake ITC through 129 fake firms. The registration of 24,000 fake/non-compliant taxpayers has been cancelled in the last fiscal and 1,400 cancellations have been made till June.

CM gives Rs 385 cr aid to construction workers

BHUBANESWAR: Chief Minister Naveen Patnaik on Thursday provided financial assistance of Rs 385 crore to the construction workers of the State. Each of the registered construction workers received Rs 1,500 under the Covid package which will benefit 26 lakh such workers in the State.

The State government had also provided financial assistance of Rs 1,500 to construction workers during the first wave of the Covid-19 pandemic.