Chandigarh/Mohali, March 30: The Punjab government has unearthed systemic tax evasion within the state’s restaurants and dhabas, with Minister Harpal Singh Cheema declaring that the total hidden turnover could eventually climb to ₹500 crore. The investigation highlights a widespread practice of under-reporting income, particularly in fast-food sectors and traditional eateries.
Addressing the media, Cheema stated that the enforcement wing identified nearly 900 establishments through sophisticated data analysis. He affirmed that the current findings of ₹200 crore in evasion are based on early inquiries, with more significant figures expected as the audit of the last two financial years concludes.
“In the preliminary inquiry, 239 cases have been examined, revealing turnover suppression of approximately ₹50 crore,” the Minister noted. He further declared that the state has already initiated the recovery process, securing ₹2.02 crore to date.
The Minister explained that the hospitality sector has been using digital tools to hide financial trails. He maintained that the government is now countering this by cross-referencing reported figures with UPI and other digital payment metadata. The investigation found that coffee bars and fast-food chains were among the most frequent violators, alongside large-scale dhabas.
While Mohali faced the most significant impact with over ₹8 crore in hidden turnover, the Minister asserted that the crackdown remains state-wide. Patiala and Ludhiana also showed substantial gaps in tax compliance. Cheema reaffirmed the government’s commitment to ensuring transparency and noted that the use of technology would be central to future enforcement actions.
