On February 22, 2024, a significant operation was carried out by the GST enforcement department of Chhattisgarh at manufacturing plants in the Urla and Siltara regions. Inspections revealed that three iron and steel producing companies — Shyam Steel Industries, Ishwar Ispat, and Ishwar TMT — had been dodging GST payments amounting to Rs 6.75 crore.

The initial investigations suggest that the actual extent of GST evasion could surpass the currently identified figures. In response to the findings, these companies promptly paid Rs 4.75 crore in GST to the authorities.

The GST enforcement division is actively investigating and addressing allegations of tax fraud. It was discovered that these companies were buying raw scrap to manufacture bars without paying the due GST.

This pattern of evasion had been under the enforcement wing’s radar for an extended period. The decision to take action was informed by analysis using sophisticated Income Tax tools and examining e-way bills, alongside other data gathered on the ground.

Source from: https://www.a2ztaxcorp.com/chhattisgarh-gst-enforcement-wing-busts-rs-6-75-crore-tax-evasion-by-steel-manufacturers/