Trader fined Rs 26 lakh for evading VAT on diamond, gold ornaments

JALANDHAR: Gold and diamond jewellery brought to Punjab while evading VAT, for selling it in the state during the ongoing festival season, was recovered by mobile wing of the excise and taxation department, and a penalty of over Rs 26 lakh has been levied on the consignment.
An excise team led by deputy director (investigation) Hardeep Bhavra recovered the jewellery from Rakesh Kumar, who belongs to Rajasthan, while he was travelling in a bus."There were 12 packets without any bill or other documents to evade VAT as the valuables were being brought to Punjab from other places," Bhavra told TOI. She said that the government had assessed jewellery's worth at Rs 52.25 lakh and apart from levying 1.1% tax, a penalty (which is half of the worth of goods) of over Rs 26 lakhs had also been levied. Department officials revealed that the raid in the bus was conducted following a tip-off.