18.11.2022: The Income Tax Department initiated search and seizure operations on 20.10.2022 and 02.11.2022 against certain persons who had executed Joint Development Agreements (JDAs) with various real-estate developers. The search operation covered more than 50 premises spread across Bengaluru, Mumbai, and Goa.
What is found in a search operation?
During the search operation, incriminating evidence in the form of large amounts of documents and digital data was found and seized. Evidence regarding the sale agreement, development agreement, and occupancy certificate (OC) have also been seized. This evidence revealed that even after the issuance of OCs by the authorities, the land owners did not declare the income received by them from capital gains on the transfer of land given for development by JDA to various developers.
Suppression of documents
In many instances, it has also come to light that the land owners have suppressed the income from capital gains for various years by artificially increasing the acquisition cost and various other expenses and not declaring the full value of consideration for the land transferred. It was also found that some landowners did not even file their ITRs for many years, where they had accrued capital gains income. When confronted, the respective assessees admitted their mistake and agreed to disclose the income from capital gains found in their respective cases and pay the tax due thereon.
So far, the search operation has resulted in Rs. More unaccounted income has been found. 1300 crores. Further, undeclared assets in the form of cash and gold ornaments amounting to Rs. 24 crore worth of goods have also been seized. Further investigation is underway.
IT Department Conducts Searches in 21 Locations
07.12.2020: The Income Tax department carries out a major search operation in Assam against a leading Coal Trader. In this regard, the searches were carried out in Guwahati, Digboi, Margherita, and Delhi on 04th December 2020.
The Allegations
The main allegations against the above group are that it has routed accommodation entries of more than Rs.23 crore and Rs.62 crore in the form of non-genuine share capital. It also includes non-genuine unsecured loans through certain Kolkata-based shell companies. Thus, all this was done by suppression of its true net profit.
What has been recovered in the Search?
During the course of the search operation, it has been established that the group engages in out-of-book transactions. Thus, many handwritten documents/Diaries regarding cash transactions have been recovered which are not reflected in the regular books of accounts.
Also, such transactions detected so far across all the locations combined are upwards of Rs.150 crore, of which payments made of a total of more than Rs.100 crore have been found to be violative of various sections of the Income-tax Act, 1961. Thus, such seized documents are voluminous and are being investigated further.
Further, loan transactions made in cash were also found to be more than Rs.10 crore in the search operation. Similarly, a stock difference of more than Rs.7 crore was found and no cogent explanation regarding the same was provided.
On the other hand, the Kolkata-based office shell company was acquired by one of the entities of the group. Thus, no books of accounts and ROC-mandated documents were found, proving the same to be a bogus entity used only to route the unaccounted income of the group.
Further, there has been unexplained cash of approximately Rs.3.53 crore found during the search. This has been seized by the Department. Also, the cash investments in Share Capital during the demonetization period were also detected.
Also Read: IT raid in Tamilnadu Seize Rs. 1000 crore
GST Updates: Kanpur GST Commissioner held for taking bribes
04.02.2018: The CBI has arrested a GST Commissioner Mr. Sansar Chand and his colleagues from Kanpur in Uttar Pradesh for allegedly receiving bribes from private companies to help them avoid paying central excise.
In addition to GST Commissioner, the CBI booked his superintendents Ajay Srivastava, Aman Shah and Rajeev Singh Chandel and Saurabh Pandey, and other members. The tenth person booked by CBI was Mr. Manish Sharma. He is the owner of a firm allegedly paying the Rs 1.5 lakh bribe to these officers.
Assets Seized by CBI
The IRS Officer got a television set, fridge, mobile phone, and cash from his clients. These assets he got for helping his clients to evade the tax. Also, the CBI said they had seized a bribe installment of Rs 1.5 lakh, while it was being delivered to an associate of Chand.
The agency, which conducted searches at the residence and offices of the IRF officer, said it had recovered Rs 58 lakh in cash, apart from diaries, pen drives, and documents of properties worth crores of rupees.
The officers were used to take these payments on a monthly or quarterly basis as protection money for the omission of action by the central excise department. Sometimes these payments were taken on a different case-to basis also.
GST India News has published this news on GST Updates on Kanpur GST Commissioner held on 04.02.2018.
what a great achievement. Bravo. May god unearth more cases so that our India gets cleaned.
Thanks for IT department and Gst Department for this action department whole officer.