The government has blindfolded those who save the tax by showing very little business in GST returns. The Ministry of Finance is going to soon match the turnover figures of present earnings to income tax shown in the tax return, so that tax evasion can be increased by preventing recovery.
A Finance Ministry official said on Tuesday that this exercise will start from the second half of fiscal year 2018-19. Its aim is to bring tax recovery up to one lakh crore rupees per month under GST. The official has indicated that the priority of the government is to make earnings and data match on business and to implement the EVE bill as soon as possible. He said that after the system of filling GST returns, the monitoring of the Directorate General of Analyzes and Risk Management (DGARM) will start from the new financial year. GST Returns will be matched to the Income Tax Returns database.
The official says that if the Finance Ministry’s agencies closely monitor the tax collections can be increased. At present, there is not enough monitoring of movement of goods from one state to another, and Eve Bill will be able to overcome its shortcomings by monitoring the stock and consumption. EVE bill will be necessary for the movement of goods more than ten kilometers and more than 50 thousand rupees.