AI Helps Government Detect ₹74,782 Crore in Fake ITC Claims in FY26

AI Helps Government Detect ₹74,782 Crore in Fake ITC Claims in FY26

The Centre has stepped up its technology-driven crackdown on GST fraud, detecting fake Input Tax Credit (ITC) claims worth ₹74,782 crore across 30,162 cases during FY26.

The amount is more than double the value of fraudulent ITC identified two years earlier. The Central Board of Indirect Taxes and Customs (CBIC) relied on artificial intelligence, data analytics and other digital tools to identify suspicious transactions and uncover networks involved in GST fraud.
Input Tax Credit allows businesses to claim credit for the GST paid on eligible purchases and inputs used in their business operations.