DGGI (Syllabus: GS Paper 3– Economy)

News-CRUX-10     10th October 2023        

Context: Reliance General Insurance Company (RGIC), a subsidiary of Reliance Capital, recently received show-cause notices amounting to nearly Rs 923 crore from the Directorate General of GST Intelligence (DGGI).

Directorate General of GST Intelligence (DGGI)

  • Formerly named: the Directorate General of Anti-Evasion (DGAE).
  • Establishment: 1979 as an independent unit under the Directorate of Revenue Intelligence
  • Headquarters: New Delhi
  • Regional Units: Chennai, Delhi, Kolkata, and Mumbai.
  • Achieved full Directorate status in 1983, led by a Director.
  • Upgraded to Directorate General in 1988, headed by a Director General.

Main Responsibilities of DGGI

  • Intelligence Gathering: DGGI is tasked with collecting, collating, and disseminating intelligence related to potential Goods and Services Tax (GST) evasion and Central Excise and Service Tax duties across India. 
  • Investigation: DGGI possesses the authority to initiate inquiries into suspected instances of GST evasion or non-compliance. This may entail summoning individuals, scrutinizing records, and conducting searches and seizures as necessary.
  • Enforcement: The DGGI is responsible for enforcing the provisions of the GST law. This encompasses legal actions against offenders, imposition of penalties, and recovery of outstanding taxes and duties.