The government is keeping a watch on some banks, insurance companies and technology and telecom firms after it announced that errors in tax credit claims should be rectified, according to two people aware of the matter.
"There are instances where the transitional credit has jumped by more than 50% from the period before GST (goods and services tax). The government want these companies to return transitional credit either erroneously claimed or inflated," one of the persons said, requesting not to be named. A few companies in FMCG and consumer durables sectors are also under the scanner, the person said.
