CBEC on Tax Evasion Check Spree
The Central Board of Excise and Customs(CBEC ) has
detected a total Central Excise and Service Tax evasion amounting to Rs.3333.28
crore and Rs.10286.73 crore
respectively up to February, 2012 in the Financial Year 2011-12. Further,
during the investigation, Central Excise Duty and Service Tax amounting to
Rs.972.69 crore and Rs.1182.64 crore
respectively has also been realized.
During the said period i.e. up to February, 2012 in
the Financial Year 2011-12, the Directorate General of Central Excise
Intelligence(DGCEI) officers have detected evasion of Central Excise duties and
Service Tax amounting to Rs.973.59 crore and 4644.75 crore respectively. Further, during the investigation, the
Central Excise and Service Tax dues amounting to Rs.219.49 crore
and 380.62 crore respectively have also been
recovered.
Earlier acting on a specific intelligence, on 28th
/ 29th March, 2012, the Officers of Directorate General of Central Excise
Intelligence (DGCEI) have detected a case of Service Tax evasion by ‘Skylark’
Group of Companies, which is engaged in providing services of Security Agency
and Man Power Supply service all over India. The estimated Service Tax evasion
by these companies is about Rs.10 crore.
During the search conducted at various premises of
the companies, voluminous incriminating documents indicating evasion of Service
Tax as well as Indian currency (unaccounted) of Rs.77.5 lacs
were recovered. The mastermind behind the evasion is one Captain T.C. Yadav (Retd.), who used to float
a number of companies engaged in providing security service and man power
supply service under multiple identities. Although the Group had been
collecting Service Tax from its customers, it paid a small amount to the
Government towards discharge of its Service Tax liability, while illegally
retaining with itself a significant amount collected as Service Tax from its
customers.
Skylark Group is also running an education
institute namely, Skylark School of Business and Technology (SSBT) and the
Service Tax liability of these companies under the taxable service category of
‘Commercial Coaching & Training Service’ is under examination. Further
investigations in this case are under progress.
[Source: Ministry of Finance, PIB
Press Release dated 10th April 2012]