Restaurants face income tax scrutiny as suspected tax evasion tops Rs 25,000 crore

The income tax department in India has identified significant tax evasion by thousands of restaurants. Approximately 8,000 restaurants showed discrepancies between their earnings and income tax filings over four years. The government aims to improve tax compliance through new measures and data analytics. Authorities previously estimated substantial under-reported income linked to missing sales records. The initiative intends to ensure fair taxation within the restaurant sector moving forward.