Ejaz Ahmad, a 40-year-old street vendor in Uttar Pradesh who earns a daily turnover of about Rs 500 by selling clothes on the streets of Muzaffarnagar, was surprised to find himself charged with committing tax fraud worth Rs 366 crore by Central Sales Tax ( CST ) officials. Shocked by the accusations, Ahmad has reached out to CST officials and other “higher authorities” to intervene in the matter.
Two years ago, Ahmad had registered a small scrap shop at Kawal village under Jansath police limits for a CST number. Initially, he traded waste of Rs 500 to Rs 1,000 a day. However, he later left the scrap business due to “losses” and started selling clothes on the streets.
Ahmad said, “I had even asked the CA (chartered accountant) to close that CST account but don’t know what happened. I have been selling clothes for two years now. I used to buy junk and supply it in the city earlier. But when the scrap business did not work out, I left it and started selling clothes. I want the CST department to find out the real culprit behind this fraud.”
JS Shukla, the Joint Commissioner of the Special Investigation Branch of the Central Sales Tax (CST) department in western Uttar Pradesh, said on Friday, “Bills worth over Rs 300 crore have been issued and it seems to be a large racket. A thorough investigation is being conducted and several firms and some individuals are under scrutiny.”
The Joint Commissioner of CST added that “a few people are claiming that their firm’s account number is being used by someone else. Ejaz Ahmad and his chartered accountant are also being questioned. More details can be disclosed only after the investigation.”
The vendor’s house was raided by senior officials of the Goods and Services Tax earlier in the week. Ahmad, who was not at home at the time, later filed a complaint with the CST department. “He has provided “all the details” and requested a fair investigation in the matter”, the Department noted.
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