Under the campaign against black money, the income tax department’s eyesight has stuck on investments made by people who have not filed income tax returns so far. Tax officers are now thinking of taking a big step against such people. They suspect that this may be a case of Anonymous property.
An Income Tax officer said, “We have information from many sources. It also has a figure of people who never filed a return and invested in the property. The data will be explored to find out the source of the money used to buy these properties and it will be seen whether the people who have these properties are their real owners or not.
The officer said that the enforced action will be taken in the same cases, which will have solid evidence. He said that in other cases the tax officer will examine the concerned person without disturbing them. In some cases, the properties purchased are more than the declared income, while others do not file income tax returns. officers are resorting to data analytics to catch tax thieves and they are now using the data from several sources to dispel them. The people’s expenditure and investment data are being obtained from many sources and their profiles are being matched and the returns are being matched by the declared income on their behalf.
More than 5.5 lakh people have been identified in the second round of Operation Clean Money. These are people who have deposited more cash than their declared income. Officials have reports of buying and selling property of many people after the demonetization.
On November 8 last year, the Modi government had announced the cancellation of 500 and 1000 rupees notes. He had said that this is being done to overcome terrorism and eliminate corruption.
The Income Tax Department then started operation clean money. He has identified 10 lakh people for e-verification of large amount of cash deposits. The department is now in the second phase of this campaign. Action is also being taken in the case of Anonymous ( Benami) properties.
The Anonymous Properties (Prohibition) Act empowers the Income Tax authorities to sue more cash deposits than their declared income and seize their property. On the convicts, a penalty of up to 25 percent of the market value of the asset market value of the asset and the provision of jail sentence for up to seven years.