Services Tax Intelligence News Today

The gaming industry hopes the GST council will offer relief by scrapping the retrospective part of the tax on online games. It also hopes for a review of the tax rate and the calculation methods. Moneycontrol explains.

GTPL's legal battle has emerged as a crucial juncture, with the company challenging the Directorate General of Goods and Services Tax Intelligence's demands.

All iron and steel items are subject to 18% GST. The Meerut unit of DGGI had received intelligence that several TMT bar makers were filing documents on behalf of non-existent companies naming them as suppliers and claiming input tax credit. The official quoted above said these companies outsourced the transportation of non-duty paid goods from the factory gate to many dealers and recipients, without paying any duty to the authorities.

Insurance players plan to file a writ petition against the tax demand on commission for co-insurance due to the absence of a GST Council meeting. The sector faces a deadline to pay the tax, and the matter is expected to be resolved soon.

DGGI is probing potential tax evasion of ₹850 crore by large coaching centres in 2020-21 and 2021-22. Officials suggest misdeclaration of enrolments and non-payment of tax after collection. The investigation, initiated in January 2023, targets numerous coaching centres across India. Around 145 large and mid-sized centres are under scrutiny, including those for medical, engineering, and entrance exams like IELTS and GRE.

The move comes after many multinational companies represented to the finance ministry about the investigation process, especially questioning of CXOs.

The CEO of Uber, Dara Khosrowshahi, has big plans for India. However, the company is contending with an ever-shifting regulatory landscape, ambitious challengers and a bleeding balance sheet.

The Central Board of Indirect tax and Customs is considering a directive to address concerns raised by multinational companies during tax investigations conducted by DGGI officials. The directive aims to improve ease of doing business and has received feedback from the finance ministry.

"Prior to any determination or finding of any irregular or inadmissible availment of input tax credit, attachment of bank account of the petitioner appears to be an arm twisting method to make the petitioner succumb to the particular authority, which cannot be the dictum of the Act," the court said in a ruling on January 15.

First, it was Rs 1.4 lakh crore of GST notices to online gaming, then Rs 1.5 lakh crore of notices to shipping companies and now the airline sector is under scanner.