Tax Compliance Under Scrutiny
The Income Tax Department has launched a massive enforcement drive against the hospitality sector, issuing notices to over 63,000 restaurants across the country. The investigation centers on alleged tax evasion amounting to ₹408 crore.
Discrepancies in Reported Sales
IT authorities reportedly found significant mismatches between the sales reported on digital food-delivery apps and the filings made to the tax department. The crackdown is part of an ongoing effort to rationalize tax collections in the service sector.
Industry Shock
Restaurant associations have called for a collaborative approach, citing the complex nature of GST and income tax payouts in a high-turnover industry. However, the department remains firm on its recovery targets.
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