Chandigarh : Punjab Finance, Planning, Excise and Taxation Minister Harpal Singh Cheema today exposed a major tax evasion racket worth nearly ₹200 crore in the state’s hospitality sector, highlighting widespread under-reporting by dhabas, restaurants, eateries, and fast-food outlets. The Bhagwant Mann-led government has launched a technology-driven crackdown to curb revenue losses and ensure compliance.
Addressing a press conference at Punjab Bhawan, Cheema revealed that 882 establishments across the state have come under scrutiny as part of a large-scale enforcement drive for the financial year 2025–26. So far, authorities have recovered ₹2.02 crore, while the probe is rapidly expanding. He warned that the total magnitude of evasion could rise to nearly ₹500 crore as more data from previous financial years is analysed.
Cheema pointed out that major urban centres such as Mohali, Ludhiana, and Jalandhar have emerged as hotspots for tax suppression, particularly in businesses dealing with high volumes of cash and hybrid payment transactions. He stressed that these practices have contributed significantly to revenue leakage.
The minister said the crackdown is being supported by advanced data analytics, along with inputs from the Tax Intelligence Unit (TIU) and State Intelligence and Preventive Unit (SIPU). He also credited the success of the government’s “Bill Liyao, Inam Pao” scheme for encouraging consumer participation in exposing tax evasion.
Providing details of the investigation, Cheema stated that 239 cases have been examined so far, uncovering turnover suppression worth approximately ₹50 crore. This translates into a tax evasion of about ₹2.54 crore at a 5 per cent rate. Out of this, ₹2.02 crore has already been recovered, with further recovery proceedings underway.
Reiterating the government’s firm stance, Cheema warned that strict action will be taken against violators. He emphasized that the use of technology and data-driven enforcement will continue to strengthen the state’s tax system and protect public revenue.
