Central Excise and Service Tax Commissionarates today claimed to have detected a service tax evasion of over Rs 15 crore by a city-based realty major.
Based on an intelligence input, a search operation was conducted last week at the site and office premises of Shukan Group by the authorities concerned and various records were seized.
The real estate group is engaged in residential and commercial construction.
"Preliminary scrutiny of seized records indicate evasion in the excess of Rs 15 crore. Investigation has revealed that separate entities are being floated for each project," a Central excise official said today.
"While some of the projects are registered under service tax, most of the projects are not. Even in projects which were registered, service tax discharged was negligible compared to actual liability," the official said.
During search, the officers found evidence of cash transactions in private records and in computers.
"Investigation indicate intention to conceal the cash receipts and evade payment of service tax on such unaccounted receipts. Even the service tax collected from customers has not been deposited in the government account," the official added.
Repeated calls made to contact officials of Shukan Group remained unanswered.
