- The Ministry of Finance revealed alarming statistics on GST evasion in India.
- Maharashtra emerged as a significant contributor to detected GST evasion.
- The recovery rate for GST evasion has been lagging behind the detection rate.
- In the fiscal year 2022-23, the government uncovered a staggering Rs 1.3 lakh crore of GST evasion, but only recovered 25% of it.
- In the current fiscal year 2023-24, the government has already identified Rs 1.5 lakh crore of GST evasion, but the recovery rate is just over 12%.
- The widening gap between detection and recovery poses challenges to the government’s revenue collection efforts.
- Strategic interventions and enhanced enforcement measures are needed to curb tax evasion effectively.
- The government needs to review the mechanisms in place to address the growing menace of GST evasion.
Source: news.caclubindia.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
