The Gujarat State Goods and Services Tax (SGST) Department has unearthed tax evasion amounting to Rs 3.53 crore from business-to-consumer (B2C) traders in the tobacco and battery sectors. The evasion was identified during a series of raids conducted on November 16 across three districts - Ahmedabad, Nadiad, and the Dangs.
Tobacco Dealers in Waghai Account for Major Evasion
The largest instance of evasion was uncovered in Waghai, Dangs district, where four tobacco dealers were found to have engaged in unaccounted sales and stock. The evasion in this case totalled Rs 2.08 crore, making it the most significant detection of the operation.
Nadiad: Concealed Sales and Underreported Tax
In Nadiad, investigations revealed a firm had allegedly concealed sales and underreported its tax liability, resulting in a tax liability exceeding Rs 53 lakh.
Battery Dealers in Ahmedabad Under Scrutiny
Raids on two battery dealers in Ahmedabad disclosed that the firms had been importing batteries and selling them without issuing invoices, a practice aimed at evading taxes. This resulted in the discovery of unaccounted stock and sales, with a tax liability surpassing Rs 92 lakh.
Legal Action in Progress
In a statement, the office of the Chief Commissioner of State GST emphasized, "Appropriate legal action to protect and realize government revenue is being pursued vigorously by the State Tax Department."
These findings highlight the SGST Department’s intensified efforts to curb tax evasion and ensure compliance across critical industries.
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