CGST Zone Detects Clandestine Pan Masala, Tobacco Unit, Detects Tax Evasion of Rs 160 Cr

Hyderabad CGST Busts Illegal Tobacco Unit in Telangana, Uncovers INR 160 Crore Duty, Cess Evasion

The Hyderabad CGST Zone has unearthed a clandestine pan masala and tobacco manufacturing unit in Telangana's Medchal-Malkajgiri district and detected duty and cess evasion of about Rs 160 crore and arrested a key accused, an official statement said on Saturday. Hyderabad CGST Busts Illegal Tobacco Unit in Telangana, Uncovers INR 160 Crore Duty, Cess Evasion.

Hyderabad: Pan masala units busted for Rs 160 cr tax evasion

Hyderabad: The Hyderabad Central Goods and Services Tax (CGST) zone has busted pan masala manufacturing units in Medchal-Malkajgiri district for evading taxes worth Rs 160 crore. Based on intelligence inputs, the CGST raided the units on August 20 and found 40 undeclared FFS (Form-Fill-Seal) pouch-packing machines used to manufacture and pack pan masala and tobacco products, including scented ‘zarda’. At least 56 workers were found engaged in ma…

CGST Zone detects clandestine pan masala, tobacco unit, detects tax evasion of Rs 160 cr

Hyderabad CGST Zone busted a clandestine pan masala and tobacco manufacturing unit. Officials detected approximately Rs 160 crore in duty and cess evasion. The operation seized finished stock, raw materials, and packing machines. A key person organizing the illicit operations was arrested and remanded. This enforcement action targets manufacturers avoiding applicable GST and excise duties.

CGST Zone detects clandestine pan masala, tobacco unit, detects tax evasion of ₹160 cr

CGST Zone detects clandestine pan masala, tobacco unit, detects tax evasion of ₹160 cr

DGGI busts illegal pan masala, tobacco network in UP, detects Rs 185 crore tax evasion

The DGGI has dismantled a significant illegal operation involved in the crafting of pan masala and gutkha, uncovering tax and cess evasion amounting to an astounding Rs 185 crore. A range of undeclared pouch-packing machines and finished pouches were confiscated, leading to the arrest of the firm's owner, who is now in judicial custody. This crackdown is part of a broader initiative targeting illicit manufacturing across the nation.

Hyderabad CGST Zone unearths clandestine pan masala and tobacco manufacturing unit and evasion of Rs 160 crore

Key person of the manufacturing unit arrested and remanded to judicial custody 40 pouch-packing machines, finished stock, raw material and two vehicles seized from a tin-shed facility in Medchal-Malkajgiri District Capacity-based cess and taxation regime under the Health Security se National Security (HSNS) Cess Act, 2025 applicable on pan masala, and central excise levy on chewing tobacco, jarda and gutkha under the Central Excise Act, 1944, in…