MUMBAI: A non-descript textile trading company registered in Mumbai with an annual turnover of Rs 1 crore or less has suddenly become active. Taxmen are scrutinising sudden spurt of activity in old companies and formation of few companies and fear these are specifically created to game GST , said tax officials and consultants in know. "The company would first sell outside the state through a shell company and claim 18% GST with the government. The buyer in New Delhi would never show sales of the goods and never pay GST," a tax expert said. "The government can eventually catch hold all those who are using shell companies to accumulate credit and make money.

Source: Times of India July 13, 2017 04:35 UTC