Taxmen catch Bengaluru dealers not issuing GST invoices, slap penalty

Bengaluru: The Commercial Taxes department’ south zone enforcement officials collected Rs 1.42 crore from dealers in central business district (CBD) in taxes and penalty after they failed to issue tax invoices in a ‘test purchase drive’ the officials conducted.

The officials also found suppressed turnover of about 21 crore involving taxes of about Rs 3 crore, Commercial Taxes Commissioner MS Srikar said in a press release.

The officials visited business premises in the guise of customers at SP Road, BVK Iyengar Road, Sultan Pet, Raja Market etc., in Bengaluru and conducted test purchases of goods in 113 premises covering electronics, electrical, readymade garments and jewellery shops. They levied the tax and penalty under the GST Act in instances where dealers did not issue an invoice.


In many cases, goods were found without valid purchase invoices and in case of dealers dealing in silver articles, three undeclared godowns were found by the officers where goods worth of Rs 8 crore not covered by valid invoices were kept, the press release said.