BENGALURU: The Enforcement Wing (South Zone) of the Commercial Taxes Department has uncovered a large-scale tax evasion network involving goods worth several crores of rupees during a series of simultaneous inspections across more than 20 key commercial locations in Bengaluru.
The inspections, conducted in areas including the Central Business District, Chickpet, Avenue Road, Cottonpet, Balepet, and BVK Iyengar Road, revealed rampant GST violations. Traders dealing in electrical and electronic goods, textiles, ready-made garments, automobiles, handicrafts, and iron and steel products were found selling goods without issuing proper invoices, a press release said.
According to the department, investigation revealed that, the multiple traders were also found operating unregistered warehouses and engaging in undeclared business activities. Also certain traders had been illegally transporting goods into the state from other parts of the country without valid invoices, thereby evading state taxes.
Over the past month, more than 75 goods transport vehicles involved in such interstate tax evasion were seized. “These violations have caused significant revenue loss to the state exchequer.
We have adopted a zero-tolerance approach toward tax evasion and will continue regular inspections based on inputs from various sources,” said L Chandrashekar Nayak, Additional Commissioner, Enforcement Wing (South Zone), Commercial Taxes Department.