Gujarat, often heralded as the epicenter of the business community, is grappling with a significant surge in Goods and Service Tax (GST) evasion cases, reaffirming its pivotal role in the nation's economic landscape. According to recent data, Gujarat ranks second among states witnessing a staggering number of GST evasion cases over the past four years.
The statistics revealed by Minister of State for Finance, Pankaj Chaudhary, in a written reply to the Lok Sabha, shed light on the gravity of the situation. Gujarat, known for its substantial contribution to GST collection nationwide, has reported a substantial 9,684 cases of GST evasion in the last four years. This places it just behind Maharashtra, which leads the charts with 9,840 cases registered during the same period.
| State | Cases of GST Evasion (2023-24) |
|---|---|
| Maharashtra | 2,716 |
| Gujarat | 2,589 |
| Haryana | 1,123 |
| West Bengal | 1,098 |
| Tamil Nadu | 715 |
| Total | 14,597 |
In the period spanning April to December 2023 alone, central tax officers registered a total of 14,597 cases of GST evasion across the country. Among these, Gujarat accounted for 2,589 cases, underlining the severity of the issue in the state. Maharashtra witnessed 2,716 cases, while Haryana and West Bengal reported 1,123 and 1,098 cases, respectively.
The table below presents a breakdown of GST evasion cases in Gujarat for the years 2020-21 to 2023-24:
| Year | Complaints Registered |
|---|---|
| 2020-21 | 2,000 |
| 2021-22 | 1,987 |
| 2022-23 | 3,108 |
| 2023-24* | 2,589 |
| Total | 9,684 |
| (*Till April-December 2023) |
The exponential increase in GST fraud cases over the four-year period is evident, rising from 2,000 in 2020-21 to 9,684 in 2023-24, posing significant challenges to the enforcement agencies.
Despite the surge in evasion cases, Gujarat has maintained a robust GST collection, as depicted in the table below:
| Year | Collection (in crores) |
|---|---|
| 2020-21 | 74,346 |
| 2021-22 | 97,155 |
| 2022-23 | 1,14,221 |
| 2023-24* | 91,780 |
| (*Till April-December 2023) |
Gujarat's consistent performance in GST collection underscores its economic significance, despite grappling with escalating instances of tax evasion. As authorities intensify efforts to curb such malpractices, ensuring compliance and bolstering enforcement mechanisms will be crucial for maintaining the integrity of the taxation system.
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