A crackdown led by Commissioner C. Shikha has uncovered widespread GST fraud in prominent business areas like Chickpet and Avenue Road, where several shops are found to be collecting additional sums ranging from 5 to 18 per cent from unsuspecting customers without issuing legitimate GST invoices.
Despite stern warnings and legal actions initiated against offenders, the fraudulent collection of GST persists, particularly in the Chickpet market. During a series of raids on over 100 establishments in Chickpet and its adjacent business zones, Commissioner C. Shikha aimed to dismantle the GST fraud network.
The modus operandi of this scam involves shops coercing customers to pay inflated amounts under the pretext of GST without providing official invoices. Many bills display hastily handwritten GST numbers, raising doubts about the authenticity of transactions. A reality check conducted by ‘Kannadaprabha’ exposed the gravity of the situation, revealing instances where customers were coerced into paying inflated amounts ranging from 12 to 18 per cent through handwritten cash bills.
To verify the authenticity of GST bills, consumers can utilize the “Search Taxpayer” feature on the official GST portal to ascertain the legitimacy of the GSTIN number provided on the invoice. Any discrepancies should be promptly reported to the Karnataka Commercial Taxes Department via their toll-free number or email address.
Commissioner C. Shikha higlighted the importance of strict legal action against individuals involved in fraudulent GST activities, highlighting that GST deductions are only valid if the GSTIN number is correctly reflected on the invoice. Failure to comply means that the GST funds collected from consumers do not reach the government. Citizens are urged to report any instances of fraudulent GST invoicing to the authorities for further investigation and action.
