Mody University accused of Tax Evasion
Tax evasion of Rs 5.26 crore was detected in preliminary investigation carried out at Mody University in Rajasthan's Sikar district, a state directorate of revenue intelligence official said on Sunday.
The action was taken following complaints of Goods and Services Tax (GST) being evaded by the university administration in the garb of a mess facility provided to the hostel inmates, the official said. While mess facility is chargeable under GST, the institution had clubbed it with hostel fees to avoid paying tax, the official added.
Preliminary investigation of purchases and books of the mess revealed tax evasion of Rs 5.26 crore, the official said. The institution took the hostel and mess fees from the parents but had failed to pay GST on the amount since last one year, the official added.
The directorate will now recover interest and penalty after detailed investigation, the official said further. The SDRI had recently exposed tax evasion of Rs 3.50 crore by Jyoti Vidhyapeeth and Rs 2.10 crore by Rajdhani Foundation.