Touts detained for getting TIN numbers from petty tradesmen

The commercial tax (CT) sleuths have exposed a Rs22-crore tax evasion by a city businessman in the shipment of granites using fake taxpayer identification numbers (TINs),

The scam came to light when the sleuths tracked the TINs to a cycle shop and puja materials shop in Chickpet. The officials have filed a complaint with the Cubbon Park police against the
businessman and his charted accountant involved in the scam. Two touts were also detained.

According to the tax officials, the case seems to be just the tip of the iceberg. They suspect that many more businessmen across the city with turnovers worth crores of rupees may be resorting to this tax evasion method.

Explaining the modus operandi of the tax evaders, the officials said the accused lure touts by offering them money to get the genuine TIN details of petty businessmen whose turnover is limited. Using these numbers, they carry their import-export business worth crores of rupees to evade heavy duties.

The sleuths detained two touts who were stealing the TIN details of petty businessmen and selling them to the accused for a price.

They found that the particular businessman operating from central Bangalore evaded tax duty worth Rs22 crore. 

They are checking records to ascertain how long this operation was going on.

“We are investigating how the touts procured the TIN numbers from petty businessmen. We have also initiated a drive to ascertain whether the transporters indulged in tax evasion. If found guilty, they would face strict action,” the officials added.
When contacted, Cubbon park police, who are investigating the case, refused to divulge information stating that the case was still under investigation.