A partner of a Pollachi-based retail jewellery firm was arrested by GST officials on Wednesday for tax evasion to the tune of Rs 6.53 crore.
The GST officials received intelligence information that a renowned retail jeweller in Pollachi was involved in the clandestine supply of gold and gold jewellery without issuing GST invoices and evading GST for such transactions.
The officers of the headquarters preventive unit of Coimbatore Central GST commissionerate conducted multiple searches at the wholesale and retail jewellery stores in Pollachi and Coimbatore on Feb 1 and Feb 21.
During the searches and inquiries with the employees and partners of the jewellery firm, it was observed that they were using two separate software in their business. One software was for the generation of invoices with GST and another for storing data of supplies without GST.
The unaccounted supply was confirmed during the searches on the premises of the wholesale suppliers of the retail jewellery firm in Pollachi. A huge shortage of stock, to the tune of 31 kg of gold and 409 kg of silver, was identified during the search.
GST officials said the jewellery firm appeared to have indulged in unaccounted clandestine sales, without payment of GST, in respect of more than 305 kg of gold. A case was registered against the jewellery firm for GST evasion of Rs 6.53 crore involving a taxable value of Rs 217 crore.
The partner of the firm who masterminded the tax evasion was arrested under the Central GST Act on Wednesday. He was produced before the chief judicial magistrate court, which remanded him in judicial custody till March 10.
Source #TOI
