Commercial Tax Department Reveals: Over 20K Taxpayers Still Evading GST
By: Admin July 20, 2024 Categories: GST Recent News
GST Evasion Continues: Commercial Tax Department Initiates Special Drive
It has now been six years since the Goods and Services Tax (GST) regime was introduced in India, aimed at simplifying the tax structure and promoting compliance. However, despite these efforts, a significant number of taxpayers are still evading GST obligations, according to recent data from the Commercial Taxes Department.
Extent of Non-compliance
The latest figures reveal alarming statistics: 23,374 taxpayers have consistently reported a turnover of less than Rs 20 lakh for over three years. Of these, a staggering 19,277 taxpayers have failed to file their returns since their registration under GST.
Special Drive Initiated
In response to these persistent issues, the Commercial Taxes Department has launched a special drive commencing from July 15. This initiative, scheduled to span over 10 days, aims to intensify efforts in identifying and addressing instances of tax evasion.
Analytical Insights and Strategies
The department’s analytics, which encompass data from e-Way bills and transactions conducted by unregistered entities, have highlighted a concerning trend. Some dealers are resorting to cash transactions as a means to circumvent GST compliance. This tactic allows them to operate outside the GST framework, thereby evading their tax responsibilities.
Focus Areas of the Special Drive
During the upcoming drive, the department plans to enhance scrutiny of transactions and implement stringent measures against practices that facilitate tax evasion. The primary objectives include:
- Increased Scrutiny: Comprehensive review of transactions to detect irregularities and non-compliance with GST regulations.
- Crackdown on Cash Transactions: Targeting businesses that predominantly engage in cash transactions to avoid GST obligations.
Future Measures and Compliance
Looking ahead, the Commercial Taxes Department is committed to reinforcing compliance mechanisms and addressing any discrepancies promptly. Stricter enforcement measures are anticipated to ensure that all taxpayers adhere to GST provisions and contribute equitably to the nation’s tax revenue.
Conclusion
As the GST regime marks its sixth year, the ongoing challenge of tax evasion underscores the need for continuous vigilance and proactive measures. The special drive initiated by the Commercial Taxes Department represents a crucial step towards strengthening GST compliance and upholding the integrity of India’s tax framework.
Stay tuned for further updates on the outcomes of the department’s efforts and additional measures aimed at promoting transparency and accountability in GST compliance.
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