: AITF apprises PM Modi of corruption in GST #FinanceIndia #StockMarketNEWS AITF apprises PM Modi of corruption in GST Ludhiana, Aug 27 (KNN) After asking the Punjab government to put more efforts

@StockMarketNEWS Sat 29 Aug, 2020

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AITF apprises PM Modi of corruption in GST #FinanceIndia #StockMarketNEWS
AITF apprises PM Modi of corruption in GST Ludhiana, Aug 27 (KNN) After asking the Punjab government to put more efforts to curb Goods and Services (GST) corruption in the state, now All Industries and Trade Forum (AITF) has taken the matter to Prime Minister Narendra Modi and apprised him of the corruption in GST.

Badish Jindal, president, AITF in a letter to Prime Minister said, if government wants to save our economy it will have to curtail corruption in GST.

Quoting its own survey, AITF apprised the Prime Minister that the government is merely getting 40 per cent of GST due to frauds.

The GST is the simplest & efficient tax system but unfortunately it is becoming a major tool of corruption. The level of corruption is so high that as per AITF survey it is found that the government is merely getting the 40 per cent of the total GST, said AITF in its letter.

AITF in its further alleged that the bogus billing companies are in fraud worth billions with the connivance of corrupt officers and politicians of states.

The state governments hardly take any action against these officers, it claimed.

The passer gangs are active in all states and the unbilled materials can be shipped interstate or intrastate very easily under the connivance of SGST & CGST officers, the letter read.

AITF said in many states the system is working under political connivance adding, the states hardly take action against any officials even after huge bogus billing. The corrupt officers are given the prominent positions since years.

Many corrupt CGST officials in states are hand in hand with the SGST officials to support this bogus billing, it claimed.

Often AITF have requested the finance department to give their convenient time to discuss the matter but unfortunately the department showed no interest, it added.

As per AITF, 80 per cent invoices of hardware, auto parts, hand tools, garden tools, electrical, electronics, cosmetic, paint, household goods, furniture, garments, foot wears are swapped to bogus buyers. The passers in all the states are transporting 30 per cent unbilled material intra state and 25 per cent interstate.

While 50 per cent transporters have opened bogus firms in all the cities for transporting the material and swapping the invoices. 80 per cent housing sector is evading the GST by purchasing the high rated GST products unbilled.

The survey also revealed that the invoices of cement are swapped by all sectors for getting high inputs and around 80 per cent invoices of scrap are sold by bogus companies and buyers get genuine inputs.

40 per cent invoices of iron and steel and its products are swapped. Around 25 per cent interstate transactions are unbilled or under invoiced, while 20 per cent invoices of imports are swapped to other traders for getting refunds, the survey unveiled.