sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
Sales Tax »
 Clarification on Cash sale of agricultural produce by Cultivators/Agriculturists
 Short-term capital gains are taxable at income tax slab rates in the year of sale
 India imposes regressive nationwide sales tax
 Modification of Circular No.1 of 2014 in view of substitution of Service Tax by Goods and Services Tax (GST).
 Assam government to dismantle all sales tax check-gates post Goods and Services Tax
 Income tax: How to calculate capital gains tax on sale of old jewellery
 Six arrested for posing as Sales Tax officers, extorting money
 Insurance Agency Mergers and Acquisitions in Q1 "Explode," OPTIS Partners' Report Reveals
 Sales tax sleuths raid spare parts shops in Meerut's infamous Sotiganj market
 Income Tax: How offshore income could be taxed twice
 India finalises bills to launch new sales tax in July

State sales tax department busts major evasion racket
December, 21st 2010

The state  sales tax department has busted a major tax evasion racket. The vigilance cell with the department stumbled upon a racket involving bogus 'C' forms belonging to 21 states.

The C forms are normally used to claim tax concession when goods are transported from one state to another. These are statutory declaration forms issued by the purchaser under the central sales tax to avail a concessional tax rate of 2% for the interstate transaction.

The forms are issued by tax assessing authorities for the state from which the purchaser operates.

During a raid conducted earlier this month, the vigilance official discovered three boxes full of bogus blank C forms, including those from other states.

The boxes contained 711 bogus C forms in all. Of these, 145 belonged to the state. There were 116 others belonging to Andhra Pradesh, 80 to Haryana, 69 to Rajasthan, 58 to Gujarat, 45 to Uttar Pradesh. Also, bogus C forms belonging to Jammu and Kashmir (35), Madhya Pradesh (31), Punjab (23), Assam (23), Himachal Pradesh (13), Karnataka (12), Goa (11), Tamilnadu (10), West Bengal (7), Chandigarh (6), Bihar (5), Chattisgarh (3), Delhi (2) and Jharkhand (1). A senior official said aids are on in different states simultaneously to further probe the scam,.

Interestingly, Nashik, which was the epicenter of the Telgi counterfeit stamp paper scam, is at the Centre of this controversy too. "The box containing the bogus forms was recovered from the residence of a plywood dealer at Bajrangwadi in Nashik.

The sales tax officials, who were accompanied by the local police while raiding the dealer's residence, also found various rubber stamps, numbering machines and a seal. "Some of the "C" forms had serial numbers, while others didn't," another official said.

The vigilance team discovered the bogus form racket, while investigating another tax-evasion scandal. The Nashik police have already arrested two suspects identified as Mohammed Latif Solanki and Gulam Mohammed Kadar in the new case. A countrywide probe across various sectors is now on.

A senior sales tax official said, "It was important to probe the source of the paper used for the bogus forms. A specific paper, the quality of which is known to only few paper mills, is used in the case of genuine forms."

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Article Management Solutions System Article Management Software S

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions