DGGI detects Rs 278 crore GST evasion in railway purchases since July 2017

Probe relates to wrong classification of rail supplies by bidders from July 2017 to June 2021

The Directorate General of GST Intelligence (DGGI) has detected tax evasion worth Rs 278 crore by bidders who were awarded railway tenders since 2017.

The probe by the investigation agency relates to instances of misclassification of rail supplies by winning bidders of railway tenders, the Parliament was informed.

In March, Business Standard had reported that DGGI has initiated an investigation into tenders awarded by the Indian Railways since July 2017 after complaints were made by the Central Board of Indirect Taxes and Customs (CBIC) and the Department for Promotion of Industry and Internal Trade (DPIIT) to the Ministry of Railways.