The DGGI Nagpur zonal unit, in a statement issued on Friday, said that tax evasion came to light following searches conducted on July 28 and 29 at the two liquor manufacturing units.
“The searches revealed that while the taxpayers were paying GST on a part of the clearances of alcohols not fit for human consumption, the clearances of an extremely large quantity of alcohols not fit for human consumption were suppressed and such clearances were neither being reflected in the GSTR 3B returns filed by them nor was any GST being paid on such clearances,” it said.
The total amount payable by them under Rule 6 of the CENVAT Credit Rules, 2004 is estimated to be Rs five crore.
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