Navigating Smuggling Syndicates: Balancing Economy and Enforcement

Revenue Secretary Sanjay Malhotra emphasizes the importance of apprehending smuggling masterminds while prioritizing the economy over revenue interests. Speaking at the DRI's 67th foundation day, he stressed skill upgrades and prudent action in high-stakes commercial fraud cases, cautioning against aggressive tax demands that could impact the economy.

Revenue Secretary Sanjay Malhotra has underscored the necessity of capturing the masterminds behind smuggling operations. Speaking at the 67th foundation day of the Directorate of Revenue Intelligence (DRI), Malhotra cautioned officers to consider economic impacts before issuing aggressive notices in commercial fraud cases.

Malhotra stressed the importance of skill enhancement and manpower development within the department, urging the focus to be on major players and syndicates in smuggling activities. While decisive action is important, prudence is essential, he advised.

DRI detected tax evasion through misclassification and misdeclaration, totaling Rs 10,000 crore in 2023-24. Malhotra highlighted the need to balance revenue generation with economic stability, warning against excessive tax demands that could harm the broader industry.

(With inputs from agencies.)