Complex compliance, multiple slabs are alien to GST

In recent years, India has seen a significant rise in the availability and use of narcotics.

- RAJESH MEHTA

Technology and innovative methods are not only being used to usher in transformative changes for society's good, but also being used by smugglers, who have developed slick methods to smuggle illicit items.

Due to its strategic location, India has long been a hub for narcotics trafficking, and its extensive borders have made it challenging for enforcement agencies to apprehend those involved in illegal trade of psychotropic substances.

The Smuggling in India 2023-24 report by the Directorate of Revenue Intelligence (DRI) revealed that some of the latest techniques include concealing illegal items inside children's storybooks, wigs, shampoo bottles, and even lehengas.

While the DRI has been doing a commendable job, the detrimental effects of the related phenomenon of an ever-burgeoning black market cannot be overstated.

This illicit trade is undermining legitimate businesses, distorting competition, and significantly eating into tax revenues, running counter to the vision of 'Viksit Bharat 2047', not just funnelling money to organised crime, but also financing terror via money laundering.

The impact of this black market is far more profound in the case of industries which have historically been exposed to higher tax regimes like tobacco.

The World Customs Organisation (WCO) and PM Narendra Modi have both voiced concerns about the links between organised crime, the black economy, and terrorism.