CAG finds 69 out of 70 cases missing ₹7,692.48 crore records in Haryana GST audit

The review covered periods from 2017-18 to 2023, with specific data analysis focusing on 2018-19 to 2021-22.

Who it concerns: Government of Haryana, specifically the Excise and Taxation Department and its District Excise and Taxation Commissioners (DETCs).

What the auditor found

• Total financial implication of findings is ₹822.99 crore.
• 41 E-Way Bills worth ₹13.49 crore were generated after GST registration cancellation.
• 68 E-Way Bills worth ₹36.30 crore were generated by high-risk taxpayers (e.g., MCA defaulters, blacklisted entities).
• In 49,641 cases of cancelled registrations, taxpayers did not file the required GSTR-10 return.
• Interest of ₹3.17 crore was short-levied in two cases due to delayed tax payments.
• Mismatches amounting to ₹738.34 crore were identified in 196 cases of high-value data inconsistencies.
• Records involving ₹7,692.48 crore in ITC/tax liability were not produced by DETCs in 69 out of 70 cases, limiting the audit scope.
• 19 taxpayers delayed monthly returns by up to 293 days without discharging ₹1.64 crore in interest liability.

Also in the document

• CAG found that the Department did not produce records for 69 out of 70 cases involving ₹7,692.48 crore, preventing a detailed examination of ITC mismatches and undischarged liabilities.
• CAG reported that 49,641 taxpayers whose registrations were cancelled failed to file the mandatory GSTR-10 return.
• CAG identified that 68 E-Way Bills worth ₹36.30 crore were generated by entities flagged as high-risk, including Ministry of Corporate Affairs defaulters and DGFT blacklisted entities.