Flipkart’s subsidiary Instakart Services are being accused by tax authorities for using fake GST invoices. The ecommerce giant’s subsidiary is said to have illegally availed input tax credit (ITC) worth INR 21 Cr since July 2017 based on fake invoices.
These fake invoices were used by two of Instakart vendors when investigating another case. These two were engaged in manpower supply. Later, Financial Express report, the GI found that the address of these two vendors did not exist.
An Instakart spokesperson denied the allegations and said, “The investigation by the GST Intelligence wing concerns the non-payment of GST by two vendors. We are merely cooperating with the authorities to help with their findings to trace and track any wrongdoings by such vendors.”