Introduction: The Directorate General of GST Intelligence (DGGI) played a pivotal role in combating GST evasion in the year 2023. This article delves into the agency’s remarkable performance, highlighting key achievements, special initiatives, and the impact on sectors prone to non-compliance.
Detailed Analysis:
Overview of DGGI’s Pursuit in 2023: In 2023, DGGI’s vigilant efforts led to the detection of 6,323 cases involving a staggering Rs. 1,98,324 crore in GST duty evasion. This marked a remarkable 119% increase in case detection compared to the previous year. The agency’s commitment to upholding GST laws and rules was evident in its special drive against Input Tax Credit (ITC) frauds.
Special Drive Against ITC Frauds: To combat ITC frauds, DGGI initiated a special drive resulting in the identification of 2,335 cases with Rs. 21,078 crore ITC frauds. This represented a significant 46% increase in case detection compared to the previous year. The voluntary payment of Rs. 2,642 crore and the arrest of 116 masterminds underscored the agency’s success in tackling the menace of fake invoicing.
Performance Metrics and Notable Achievements: DGGI’s overall performance showcased an impressive increase in the detection of duty evasion and voluntary payments. The agency detected 140 masterminds involved in GST evasion, highlighting its efficacy in apprehending those responsible. Comparing the statistics with the preceding year, there was a substantial 119% increase in the amount of duty evasion detected, and a commendable 26% rise in voluntary payments.
Conclusion: In conclusion, the year 2023 witnessed DGGI’s resolute commitment to curbing GST evasion. The agency’s accomplishments, such as the significant increase in case detection, voluntary payments, and arrests, showcase its dedication to maintaining the integrity of the GST system. As DGGI continues to uphold the principles of fairness, transparency, and compliance, the business landscape can anticipate a level playing field, fostering an environment conducive to compliant operations within the framework of GST laws and rules. The relentless efforts of DGGI contribute not only to fiscal stability but also safeguard social, financial, and economic security. Explore the detailed analysis above to gain insights into DGGI’s impactful performance in 2023.
Ministry of Finance
Performance of DGGI in the year 2023
In 2023, DGGI detected 6,323 cases involving evasion of duty of Rs. 1,98,324 crore; 119% increase in detecting cases Year-on-Year
To check Input Tax Credit (ITC) frauds in 2023, DGGI’s Special Drive against ITC fraudsters resulted in detection of 2,335 cases with Rs. 21,078 crore ITC frauds; showing increase 46% in detection Year-on-Year
During the year 2023, Directorate General of GST Intelligence (DGGI) which is the premier investigating agency for GST matters, continued its relentless pursuit to check evasion of GST across the country. It has unveiled significant GST evasion in diverse sectors like Online Gaming, Casinos, Insurance sector, Secondment (import of Manpower Services), Fake ITC among others. Non-compliance in these sectors not only pose a threat to the fiscal stability but also involve potential social, financial as well as economic security implications.
The dedication and tireless efforts of DGGI have yielded notable results, with a significant increase in performance.
Overall Performance in Detection of Duty Evasion and Voluntary Payments: DGGI has achieved an increase in detection of cases of evasion and voluntary payments. In 2023, DGGI detected 6,323 cases involving evasion of duty of Rs. 1,98,324 crore with a voluntary payment of Rs. 28,362 crore. 140 masterminds involved in GST evasion were arrested.
This is a significant improvement as compared to the previous year i.e. 2022 wherein 4,273 cases were detected, amounting to duty of Rs. 90,499 crore, and voluntary payment of Rs. 22,459 crore and 97 arrests were made. There is 119% increase in the Year-on-Year amount of duty evasion detected by DGGI and 26% increase in the voluntarily payments made.
Performance in fake Input Tax Credit (ITC) cases: DGGI initiated a Special Drive against ITC fraudsters to plug the leakage in Government revenue and as a result, 2,335 cases with ITC fraud of Rs. 21,078 crore were detected, with a voluntary payment of Rs. 2,642 crore. 116 masterminds were arrested to check the menace of fake invoicing. This is a significant improvement in comparison to the previous year i.e. 2022 wherein 1,646 cases were detected, totaling Rs. 14,471 crore and a voluntary payment of Rs. 1,604 crore was made and 82 masterminds were arrested.
This shows 46% increase Year-on-Year in amounts of duty evasion detected and 65% increase of voluntarily payments made in fake invoicing cases.
DGGI’s performance underscores its dedication to upholding the principles of fairness, transparency, and compliance. DGGI remains committed to maintain the integrity of the GST system, as well as to ensure that business operations are conducted within the framework of GST Laws and Rules, and to provide a level playing field to the compliant businesses.
****
