Kerala GST Raids Expose Rs. 12 Crore Tax Evasion in Bar Hotels:

Kerala GST Raids Expose Rs. 12 Crore Tax Evasion in Bar Hotels The State Goods and Service Tax Department revealed on September 27, 2025 (Saturday), that investigations carried out in bar hotels across Kerala have exposed big-scale turnover suppression and tax evasion. The investigation were organised by the intelligence and enforcement divisions of the department in 45 bar hotels and exposed turnover suppression of Rs. 127.46 crore and tax evasion of Rs. 12 crore.

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The operation was named 'Prancing pony' which lasted from 4:30 p.m. on September 25 to the early hours of September 26. The inspections were aimed at bar hotels that were evading tax payments by defaulting on the timely filing of monthly returns. However, the State GST Commissioner said investigations will continue against businesses that try to evade taxes.