Photo Source: Babushahi Bureau
Punjab Govt recovers Rs 1,137 crore in crackdown on tax evasion; 15 arrests, 8 FIRs lodged
Babushahi Bureau
Chandigarh, April 6, 2026: Reaffirming a zero-tolerance stance against tax evasion, Punjab Finance Minister Harpal Singh Cheema announced record enforcement outcomes for the financial year 2025–26, with recoveries touching ₹1,137.85 crore under the leadership of Chief Minister Bhagwant Mann.
Cheema stated that the State Taxation Department imposed penalties amounting to ₹1,383.11 crore, out of which a substantial ₹1,137.85 crore has already been recovered, reflecting a major improvement in enforcement efficiency and revenue realization.
He said that inspection-based enforcement emerged as the primary driver, accounting for ₹1,215.95 crore in penalties and ₹972.15 crore in recoveries, while road-checking operations contributed ₹165.71 crore. The minister highlighted that this marks a sharp increase compared to the previous financial year, indicating a transformational shift in Punjab’s enforcement capabilities.
Highlighting the crackdown on fraudulent networks, Cheema said the department registered eight FIRs and made 15 arrests during the year. Investigations uncovered tax evasion worth ₹69.57 crore involving firms issuing fake invoices without actual supply of goods.
He further revealed major detections, including ₹900 crore fake billing in gold transactions in Ludhiana, ₹226 crore in coal-related fraud across Mohali, Kharar, and Kotkapura, and ₹423 crore bogus billing networks in Ludhiana and Mandi Gobindgarh. A ₹200 crore fraud linked to the “Pet Pooja App” was also detected, pointing to the increasing sophistication of such networks.
Cheema added that strict Input Tax Credit (ITC) control measures helped safeguard ₹451.46 crore, with ₹244.82 crore blocked and ₹206.64 crore reversed. A verification drive identified 1,579 suspicious dealers, of which 922 were found non-existent and had their registrations cancelled.
He also noted that during a special enforcement drive in Ludhiana and Mandi Gobindgarh, a record 141 vehicles were detained in a single day, while surveillance at railway stations and transit points was intensified, particularly in high-risk sectors such as iron and steel, cement, auto parts, tobacco, and metals.
The minister credited advanced data analytics, real-time e-way bill tracking, and digital enforcement systems, along with initiatives like the “Bill Liao Inaam Pao” scheme, for enabling swift and coordinated action. He reaffirmed that the state government will continue strict action to dismantle fraudulent networks, promote fair business practices, and safeguard public revenue.