Raids in 4 Districts in Punjab: Tax Evasion on Tobacco Sales; goods worth ₹1.5 Crore seized

March 27, 2026

The Punjab government has tightened its noose around those evading taxes on tobacco products. Finance Minister Harpal Singh Cheema announced on Friday that teams from the State Taxation Department conducted simultaneous, large-scale raids across Punjab, recovering unaccounted-for (unbilled) tobacco products worth ₹1.5 crore.

He stated, “Following the recent hike in taxes on cigarettes and bidis, tax evasion activities in this sector had witnessed a surge. Acting under the government’s ‘zero tolerance’ policy, the department took immediate action.”

Raids Conducted at 8 Locations

Teams from the four State Investigation and Preventive Units located in Amritsar, Ludhiana, Patiala, and Jalandhar carried out simultaneous raids at eight different locations.

These included five registered shops and three unregistered, illicit business establishments. During the raids, secret warehouses and hidden stocks were unearthed in Ludhiana and Amritsar.

In warehouses linked to the main shops, large quantities of goods were being stored and sold without invoices or proper accounting records.

Goods Recovered

The recovered items included 132,000 packets of Indian-manufactured cigarettes, 18,472 packets of bidis, 302 packets of zarda (chewing tobacco), 13 packets and 95 cartons of foreign cigarettes, 148 units of foreign hookah accessories, and 18 packets of Coollip. The total value of the seized goods amounts to approximately ₹1.5 crore.

Outstanding taxes exceeding ₹50 lakh are due on the seized merchandise, which will be strictly recovered. To date, a sum of ₹12 lakh has already been recovered, and the process for recovering the remaining amount is proceeding rapidly.

The Government’s Clear Message

Issuing a stern warning, Harpal Singh Cheema stated, “The Bhagwant Mann government maintains an absolutely strict stance against tax evasion. Such operations will continue unabated. Traders are advised to maintain proper bills and documentation, and to strictly adhere to the law; otherwise, no one will be spared from strict punitive action.”