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A team of Gujarat commercial tax officials raided a Chinese cellphone trader's shop on Gandhi Road, following a tip-off about rampant tax evasion. During the operation, the officials found mismatch of business figures in the trader's account books when compared with the stock and detected a Value Added Tax (Vat) evasion worth Rs 34.4 lakh.
The Vat officials said that the trader like many other Chinese cellphone stockists had smuggled the phones into the state without paying the mandatory tax.