CENTRE WARNS OF "DRUGS IN PARCEL" SCAM DUPING THE PUBLIC

Why in the news?

The Revenue Department of the Union Finance Ministry has issued a warning about the “narcotics drugs in parcel” extortion scam.
The scam involves fraudsters posing as Customs officials to extort money from individuals.

source:slideshare

About the Central Board of Indirect Taxes and Customs (CBIC):

Part of the Department of Revenue under the Ministry of Finance,
Administers indirect tax matters, including Customs, Excise duties, GST, IGST.
Prevents smuggling and manages Customs, Excise, GST, IGST, and Narcotics policies.
Oversees Custom Houses, Excise and GST Commissionerates, Central Revenues Control Laboratory.
Manages tax collection at airports, seaports, Custom Houses, ICDs, SEZs, CFSs.
Headed by a Chairman with divisions led by Chief Commissioners/Director Generals.
Includes a GST intelligence wing to detect and prevent tax evasion.

About Indirect Tax:

Levied on the party ultimately bearing the financial burden.
Transferred through an intermediary.
Middleman files a tax return and submits revenue to the government.
Different from direct tax, which is paid directly by the subject.
Calculated based on expenses, not income.
Paid by consumers via suppliers of goods and services.
Examples: customs duty, sales tax, excise duty, service tax, VAT, dividend distribution tax.

Customs Duty:

Tariff on goods crossing international borders.
Protects the nation’s economy.
Types: Basic Duty, Countervailing Duty, Protective Duty, Anti-Dumping Duty, Export Duty.
Controls business and generates government revenue.
Calculated ad valorem in India.
GST (Goods and Services Tax) replaced all other indirect taxes on goods and services.

Sales Tax:

What's New