Lok Sabha Question No. 3945 (UNSTARRED), answered on 2019-01-04
Subject: GST Evasion by Coaching Centres
Ministry: FINANCE
Asked by: RAJESH VERMA

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE LOK SABHA UNSTARRED QUESTION No. 3945 TO BE ANSWERED

ON 4th JANUARY, 2019/PAUSA 14, 1940 (SAKA)

## GST EVASION BY COACHING CENTRES

## 3945. SHRI RAJESH VERMA:

Will the Minister of FINANCE be pleased to state:

- (a) Whether the coaching centres operating in Punjab and Haryana charge hefty fee from students and are not paying any tax to the Government and if so, the details thereof;
- (b) Whether such coaching centres have not even obtained Goods and Services Tax (GST) number and if so, the details thereof;
- (c) Whether  the  Union  Government  has  conducted  any  inquiry  of  tax  evasion  by  coaching  centres operating in Punjab and Haryana; and
- (d) If so, the number of coaching centres in Gurdaspur and Hoshiarpur region of Punjab and Gurugram region of Haryana found guilty of tax evasion and the action taken against them as on date?

## ANSWER MINISTER OF STATE IN MINISTRY OF FINANCE

(SHRI SHIV PRATAP SHUKLA)

- (a) Yes, cases have been initiated against coaching centres with respect to suspected violation of provisions of GST laws.
- (b) Yes, out of the three coaching centres which were booked for suspected violation of provisions of GST laws, one coaching centre had not obtained Goods and Service Tax (GST) number, when the case was initiated against them but this coaching centre also obtained  GST number post detection of the case against them.
- (c) Yes,  Central  GST  investigation  authorities  are  conducting  inquiry  regarding  suspected  tax  evasion  by coaching centres operating in Punjab and Haryana.
- (d) Two  coaching  centres  in  Hoshiarpur  region  of  Punjab  and  one  coaching  centre  in  Gurugram  region  of Haryana  are  being  investigated  for  suspected  tax  evasion  by  them.  No  case  has  been  detected  against coaching centre in Gurdaspur region of Punjab.

|   S.No. | State   |   Number of cases initiated |
|---------|---------|-----------------------------|
|       1 | Haryana |                           1 |
|       2 | Punjab  |                           2 |

|   Number of cases initiated against coaching Centres |   No. of coaching centres having GST No. at the time of initiating of case | State                          |   No. of coaching centres not having GST No. at the time of initiating of case | State   |
|------------------------------------------------------|----------------------------------------------------------------------------|--------------------------------|--------------------------------------------------------------------------------|---------|
|                                                    3 |                                                                          2 | One each in Haryana and Punjab |                                                                              1 | Punjab  |

Action taken against them as on date;

-  Searches were conducted and several records/documents have been resumed, further investigations are underway against these entities.