GST Evasion Detection Doubles To Rs 1.01 Lakh Crore In FY 2022-23

The Directorate General of GST Intelligence (DGGI), the investigative agency under the Goods and Services Tax (GST) regime, has almost doubled its detection of GST evasion in the just-concluded financial year 2022-23, as per news reports. DGGI officers have identified evasion amounting to Rs 101,300 crore, a year-on-year increase of nearly 100%, while recovering Rs 21,000 crore during the same period.

GST Evasion Detection Doubles To Rs 1.01 Lakh Crore In FY 2022-23

Increased Compliance Measures

The government is taking proactive measures to increase GST compliance, such as data analytics and human intelligence to identify fraudulent activities. As the number of GST evasion cases rises, with about 14,000 detected cases in FY 2022-23, up from 12,574 cases in FY 2021-22 and 12,596 cases in FY 2020-21, the government is striving to increase GST compliance further.

Modus Operandi of GST Evasion

Fraudsters adopt different ways to evade GST, including undervaluing taxable goods and services to pay lower tax, incorrect availment of exemption notifications, wrong availment of input tax credit, non-payment of tax on taxable goods and services, and fraudulent availment of input tax credit using invoices from fake firms.

Total GST Evasion Detected

Between July 2017 and February 2023, the Finance Ministry has detected total GST evasion amounting to nearly Rs 3.08 lakh crore, with over Rs 1.03 lakh crore recovered. GST authorities have arrested 1,402 individuals for evading taxes in the past five and a half years, till February 2023.


The detection of GST evasion has almost doubled in FY 2022-23, indicating the need for increased compliance measures. The government is working to identify fraudulent activities through data analytics and human intelligence, while fraudulent activities evolve with newer ways to evade GST. The total GST evasion detected since 2017 highlights the need for increased awareness and compliance to support India’s economy’s growth.

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