The income tax department is closely monitoring the property of the overseas Indians. In the coming months, the income tax department’s eye will be kept in such cases where property has been sold by the overseas Indians or it has been deducted on other international transactions. Not only this, surveys will also be done to avoid tax compliance.
In the last financial year, the Income Tax Department issued several notices, including cases involving short deduction or delay in TDS. All of these cases were also against small business establishments. The Central Board of Direct Taxes has prepared its action plan for the current financial year ending March 31, 2019.
The Board says that there will be an emphasis on such matters in which any NRI has purchased property. In such cases, buyers pay TDS only one per cent, while it should be close to 20 per cent. The Board says that such cases are of high risk and should be dealt with on priority basis.