GST UPDATE

???? Desk of CA. Praveen Sharma Series-553 ????

Bajaj Finance gets ?341 crore GST ’evasion’ notice from DGGI, faces massive penalty bill: Report

?Bajaj Finance has received a ?341 crore show-cause notice from the Directorate General of Goods and Services Tax Intelligence (DGGI) for allegedly evading GST by misclassifying a service charge as an interest charge. 

?The notice, issued on August 3, 2024, accuses the company of evading taxes between June 2022 and March 2024 by treating "upfront interest" on loans as non-taxable interest, which the DGGI claims should be taxable as a processing fee or service charge. 

?The company faces a total fine of ?850 crore, including penalties and interest. The investigation began after a 2022 inspection at a Kozhikode outlet, leading to further scrutiny of 65 Bajaj Finance offices.

Link:https://www.linkedin.com/pulse/desk-ca-praveen-sharma-series-553-bajaj-finance-gets-6nbec

CA. Praveen Sharma

+91-9871530610