GST Corruption Row: FM Sitharaman Calls for Transparency and Integrity

By Tax assistant

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GST Corruption Row: FM Sitharaman Calls for Transparency and Integrity

Finance Minister Nirmala Sitharaman has underscored the critical importance of transparency and integrity in the government’s service to taxpayers. Her comments came after the Central Board of Indirect Taxes and Customs (CBIC) issued a detailed response to a recent GST corruption allegation circulating on social media.

The Allegation: Delays and Demands

The controversy began when Vinod Gupta, founder of VG Learning Destination, shared a LinkedIn post (since deleted) claiming that he faced bribery demands and significant delays in obtaining a GST registration number for a firm. He stated that despite applying 20 days prior, objections continued to arise, and the registration remained unallotted.

A screenshot of Gupta’s post was widely shared, notably by legal expert Abhishek Raja “Ram” on ‘X’. Raja criticized the CBIC, suggesting they were out of touch with the “ground reality of corruption in GST Registrations” and urged top-level officers to intervene to combat the issue.

CBIC’s Clarification

In response, the CBIC provided a clarification on ‘X’, stating that the Application Reference Number (ARN) in question was pending a reply from the taxpayer’s side. They affirmed that the taxpayer had been duly informed and that the application would be processed by the Delhi GST authorities as soon as the pending information was received.

FM Sitharaman’s Stance

Reacting to CBIC’s detailed explanation, FM Sitharaman emphasized that providing service to taxpayers is a fundamental duty. She stressed that “transparency and integrity are crucial in earning their trust and confidence,” expressing confidence that the Board and field formations would remain sensitive and responsive to these principles.

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