The cases of fake GST invoices have witnessed a significant spike in recent times. Fraudsters generate fake GST invoices for several reasons such as tax evasion, fake purchases, money laundering, etc. Scammers are also creating fake GST bills to cheat people.
Here are some ways to identify fake GST invoices that can help you avoid scams.
1. Check the Invoice Number and Date
Carefully examining the invoice number and date can help you spot any discrepancies which could indicate a fake invoice.
2. Verify the Signature of Supplier
Another way to check the authenticity of a GST invoice is to verify the signature of the supplier. The signature should match the signature of the supplier registered with the GST authorities. In case you doubt the authenticity of a signature on the invoice, you can reach out to the authorities for verification.
3. Validate Other Details on the Invoice
If you doubt the authenticity of a GST invoice, you can verify other details such as the name and address of the supplier
4. Check Tax Payment Status
You can also check the tax payment status of the supplier to verify the authenticity of an invoice. This can be done from the GST portal. Visit the ‘Search Taxpayer’ page and enter the GSTIN number to check the filing status.
5. Verify HSN and SAC Codes
HSN and SAC codes are an essential part of the GST framework. They help identify the nature and value of the taxable items. HSN codes are eight digits long and SAC Codes are six digits long. Every GST invoice should correctly mention both codes. These codes can be verified on the GST portal to verify the authenticity of an invoice.
6. Cross-check the Tax Amount
The tax amount is calculated based on the applicable GST rate for the provided goods and services. You can verify the tax amount on the GST portal using the GST calculator.
7. Verify the GSTIN Number of the Supplier
Verifying the GSTIN number is one of the best ways to identify fake invoices or bills. GSTIN is a 15-digit code allotted to every taxpayer registered under the GST regime. If you suspect that a GST Bill is fake, you can verify the GSTIN number in easy steps.
• Go to gst.gov.in
• Click on the ‘search Taxpayer’ tab
• Enter the GSTIN of the supplier
• Press the search button
• If the GSTIN is valid, details of the supplier will be displayed on the screen
8. Use eInvoice verifier QR Code App
The launch of the eInvoice verifier app further simplifies the verification process. Users can scan the QR code appearing on an invoice to verify its authenticity. It is mandatory to include the QR code on the eInvoice while sharing it with the buyer.
Once you identify a fake GST invoice, it is time to act promptly and report it. Let us look at the different ways to raise a complaint.
How to Report a Fake GST Invoice?
There are several ways to report fake GST invoices
1. Register your complaint on the ‘CBEC Mitra Helpdesk’ by visiting the official GST portal.
2. Send an email to mitra.helpdesk@icegate.gov.in.
3. Report the case on the helpline numbers provided on the official GST portal
Conclusion:
There are several ways to check the authenticity of an eInvoice and keep yourself safe from scammers. The different verification methods make it possible to identify and report fake eInvoices easily.
At TaxPro, we are committed to simplifying the taxation ecosystem. Our comprehensive suite of eInvoicing solutions helps reduce reconciliation errors, ensure compliance and improve business efficiency.
