By TIOL News Service

MUMBAI, SEPT 12, 2018: INPUT Tax Credit (ITC) if wrongly availed, is revenue lost. Working on this mantra, the Belapur CGST Commissionerate caught M/s Pro-Tech Engineers, wrongly availing credit and recovered the same to the tune of Rs 1.12 lakh crore!

As per the official Press Release, the officers of the CGST, Belapur, detected such large-scale availment while conducting analysis of the electronic data furnished in the GST returns of the registered person. A huge mismatch was noticed in GSTR-3B returns vis-a-vis the available credit as appearing in the GSTR-2A returns for the period from July 2017 to March 2018, and thus an inquiry was initiated in the matter.

The officers of Anti-Evasion wing of the Commissionerate visited the premises of the said taxpayer and the examination of the related records revealed that the taxpayer had availed inadmissible credit to the tune of Rs 112,396.51 crore. On inquiry, the Director of the company, stated that they had inadvertently availed the said inadmissible credit. It was further seen that the said tax payer had also utilized a small part of the said credit to discharge their GST liability.

As an immediate measure, the officers of the visiting team got the taxpayer to reverse the Input Tax Credit of Rs.1,12,396.51 Crore reversed through DRC-03 indicating intimation of voluntary payment. Further investigation is under progress.