DGGI uncovers ₹115 Crore GST evasion across Andhra Pradesh hotels
The Directorate General of GST Intelligence has uncovered a ₹115 crore tax evasion scheme involving 13 hotels in Andhra Pradesh. Operators allegedly manipulated billing software to delete invoices and artificially deflate their taxable turnover.
Why it matters
This highlights the growing challenge of digital tax fraud in the hospitality sector and the government's increasing scrutiny of automated billing systems.
The Directorate General of GST Intelligence (DGGI), Visakhapatnam Zonal Unit, has unearthed a massive Goods and Services Tax (GST) evasion of roughly ₹5.69 crore by 13 prominent hotels and restaurants across Andhra Pradesh.
In total, the DGGI uncovered suppressed taxable turnover amounting to approximately ₹115 crore across the 13 targeted businesses.
The crackdown, executed over the last two months, followed search operations spanning Visakhapatnam, Rajahmundry, Eluru, Guntur, Ongole, Nellore, Kurnool, and Mandapeta.
According to officials, the establishments systematically suppressed the value of taxable supplies, reporting significantly lower sales figures than the actual amounts collected from patrons. Investigations revealed a calculated modus operandi: operators allegedly deleted specific customer invoices directly from customised billing software to artificially deflate their actual turnover and evade tax liabilities.
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