Central Board of Indirect taxes and Customs (CBIC)
The Central Board of Indirect taxes and Customs (CBIC) is the national nodal agency which is responsible for the administration of Customs, GST & Narcotics in India. The department was established in the year 1855 by the British to administer the custom and revenue laws in India. The department was also made responsible for the collection of import duties/land revenue in India. The CBIC is one of the oldest government departments of India.
The CBIC has several associated agencies with it. Among them are the Directorate of Revenue Intelligence, the Directorate General of GST Intelligence, the Central Economic Intelligence Bureau, the Financial Intelligence Unit (FIU- India), the Economic Intelligence Council, the Enforcement Directorate and the Central Bureau of Narcotics among others.
Directorate General of GST Intelligence
- The Directorate General of GST Intelligence is a law enforcement agency which operates under the Ministry of Finance.
- It was earlier known as the Directorate General of Anti-Evasion and was later renamed the Directorate General of Central Excise Intelligence.
- Following the introduction of Goods and Services Tax, the agency was renamed the Directorate General of GST Intelligence.
- The Directorate General of GST Intelligence is part of NATGRID and is staffed by officers deputed from Central Excise and Customs.
Why is the Directorate General of GST Intelligence in News?
A zonal unit of the Directorate General of GST Intelligence based at Gurugram arrested two businessmen for issuing fraudulent Input Tax Credit invoices without physically supplying the goods.
What are Input Tax Credits?
The Input Tax Credit or ITC is the tax which a business pays on the purchase of a good/service. It can be used to reduce tax liability when it further makes a sale of the bought good/service.