₹14.84 Crore Penalties Imposed So Far in January – Iron & Steel Sector in Focus Amid Major Enforcement Drive
Chandigarh, January 29, 2026:
In a resolute push to curb tax evasion and protect state revenue, the Punjab Taxation Department launched a special statewide enforcement campaign on January 28, 2026. Coordinated through all State Intelligence and Preventive Units (SIPUs), the operation targeted non-compliance in high-risk sectors, particularly iron and steel goods transportation.
Excise and Taxation Minister Harpal Singh Cheema announced that 141 vehicles were detained across Punjab for detailed verification. A large number of interceptions occurred in Mandi Gobindgarh and Ludhiana — key centers of the iron and steel trade. Preliminary inspections revealed many vehicles carrying iron scrap, finished iron/steel products, and other goods suspected of tax evasion through:
- Invoice-less movements
- Misuse of GST provisions
- Irregular or manipulated e-way bills
This action builds directly on the department’s ongoing January 2026 enforcement drive against the high-risk iron and steel sector, driven by credible intelligence on large-scale evasion tactics like bogus firms, fake billing, and e-way bill manipulations.
Key Highlights from Minister Cheema’s Statement:
- Sustained January Efforts: A total of 793 vehicles detained statewide throughout the month, with 538 carrying iron scrap and finished iron/steel goods (the rest involved other commodities).
- Penalties Recovered: ₹14.84 crore imposed across 667 cases, with another 187 cases still under verification — more recoveries expected soon.
- Intelligence-Led Approach: SIPUs intensified checks on iron scrap, finished goods, and other vulnerable commodities to ensure uniform, strict enforcement.
- Commitment to Fair Play: The proactive strategy strengthens GST compliance, deters evaders, creates a level playing field for honest taxpayers, and promotes voluntary compliance while safeguarding government revenue.
Minister Cheema emphasized that the department’s zero-tolerance stance, backed by intelligence-driven operations, will continue with targeted drives. “These actions uphold transparency in the GST regime and ensure that public funds are protected for the welfare of Punjab’s citizens,” he stated.
The campaign sends a strong message: Tax evasion will face swift and firm action, especially in critical sectors like iron and steel. Punjab’s Taxation Department remains vigilant in its fight against fraud, bogus billing, and revenue leakages.
