After the government equipped with data taken from agencies like the Income Tax Department, Customs unit, FIU and GST department, and banks the government have arrested 187 tax evaders which include 5 Chartered Accountants and 1 Company Secretary. Having said that it has also brought a buoyancy in tax collection.

The finance secretary Ajay Bhushan Pandey revealed there are also large companies that were mired in fake invoicing rackets thereby lead to evading GST and Income Tax and has been levied with a hefty amount of Penalty for the same. As per record, the government netted a record GST collection of Rs 1.15 lakh crore in December 2020, helped by the action against tax evaders alongside pick up in the economy.

The finance secretary said that the action against those who try to misuse/default the system has been based on collating information from various agencies such as Income Tax Department, Customs Unit, FIU, and GST department and banks. A severe action has been taken against 7,000 evaders out of a tax base of 1.15 crore. 

The finance secretary said that the action against those who try to misuse the system has been based on collating information from various agencies such as Income Tax Department, Customs Unit, FIU, and GST department and banks. A severe action has been taken against 7,000 evaders out of a tax base of 1.15 crore. 
 
Few changes took place due to such misuse and the government has made e-invoice would be made mandatory for all B2B transactions by businesses with a turnover of over Rs 5 crore, from April 1.Lately, on October 1, 2020, the government made electronic invoice mandatory for businesses with turnover over Rs 500 crore, and for over Rs 100 crore turnover from January 1.

GST collections surged to an all-time high in December as economic activities picked up after lifting of stringent lockdown restrictions.
GST, which is levied when a consumable item is sold or a service is rendered, in December was 12 per cent higher than such receipts in the same month of 2019.

According to sources it has been seen that the December has seen record collection since GST implementation, which can be attributed to two factors. The trend suggests that the economy is picking up and we are enduring a faster pace of recovery.