GST Scam - Fake transaction that Fool the system
~By Nisha Chand (SYBAF 2025 -26)
~By Nisha Chand (SYBAF 2025 -26)
Hello readers,
Do you want to know a secret about how some vendors fool the government?
Of course, you should — because these thieves grab money from us in the name of taxes but never actually give it to the government.
Here’s a short story that reflects the major issue of fake invoices under the Indian economy and GST.
One evening, little Vishakha curiously asked her father, Raghu, how the tax system in India works. Smiling, Raghu explained, “The government charges some amount from our income so they can provide us services.” Vishakha, puzzled, asked how her father managed since he didn’t have a fixed salary as a vendor. Raghu replied that he simply paid taxes on credit and recovered them from customers. Excited, Vishakha said she wanted to be like him one day. Raghu leaned closer and revealed a troubling secret — sometimes he pretended to buy from suppliers, created fake papers, and claimed tax credits he never paid, pocketing the extra money. Shocked, Vishakha protested, “But Dad, that’s cheating!” Raghu calmly replied, “If you want more toys, you need more money — and this is the only way to earn extra.”
The next day, Vishakha went to school. Her teacher was explaining the basics of GST and asked the students if anyone knew about it. Vishakha proudly repeated everything her dad had told her.
The class was shocked. The teacher informed the authorities, and soon, Raghu’s little “smart move” was exposed.
🤔Guess what happened next?
He had to pay a heavy penalty — and eventually landed in prison.
There are many people like raghu in our society who not only scam gov but also foool us by not letting us have the facility we deserve these are some very common issue that is widely spreading in economy that need some strong actions
~By Nisha Chand (SYBAF 2025-26)