(Guest)

Income Tax Raids

The Income Tax Department, assisted by the Enforcement Directorate, has conducted searches and seizure operation recently in various States of the country. Various lockers, bank accounts and premises are under propitiatory orders as per the provisions of the Income Tax Act, 1961. The seized documents/materials are being further investigated.

The search actions in some cases, prime-facie, indicate Hawala transactions and that the properties are more than the income earned. Search and Seizure action, as per the Income Tax Act, 1961, are a continuous and ongoing process based on information in the possession of the Income Tax Department. The evidences gathered during search and seizure actions are used in assessment or re-assessment proceedings of the relevant persons, as per Income Tax Act, which becomes final when assessments before the Assessing Officer and appeals before CIT (Appeals), ITAT, High Courts or Supreme Court are completed. Suitable action as per law would be taken against those found guilty.

This information was given by Minister of State for Finance, Shri S.S. Palanimanickam in written reply to a question raised in Lok Sabha today.

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7 Replies

Vineet (Director) 21 November 2009

The information is already in public domain and media has published with great details the coded entries in those famous eight pages seized from Vikash Sinha. I wonder how much these entries will help in nailing the accused unless there are corroborative evidences. Yes great media sensation is guranteed as entries are being linked to high ranking politicians. Everybody knows the fate of famous Jain Diaries.

(Guest)

For eye wash income tax raids. First punish the culprits then only citizens will appreciate IT department.

Vineet (Director) 21 November 2009

I slighty disagree with Sathya Prakash ji on this issue. The job of IT department is to collect taxes and penalise the tax evaders as per law. So the raids are not mere eyewash and they will certainly add lot of revenue to the exchequer.

Now it is the job of criminal justice and political system to appreciate and effectively utilise the findings of raids to nail the culprits for plundering the public funds and deceiving the public trust. I doubt they will ever be able to do that if history has something to suggest.

Anil Agrawal (Retired) 22 November 2009

What is the difference between law and practice.

Anecdot:

I regularly talked to my friend. There was no news from him for 5 days. Then I got a call. What happened, I asked. Where had he been?

No where? Busy with income tax raid. Some complaint.

Outcome, I asked.

Down the drain by 5 lacs and a sumptuous meal.

(Guest)

NOW EVERY ONE KNOWS ABOUT INCOME TAX DEPARTMENT. HOW EFFICIENT THEY ARE. IF YOU NEED MORE ABOUT INCOME TAX DEPARTMENT OFFICIALS YOU CAN ASK ANY PERSON IN JHARKHAND OR ANY ASSOCIATES OF MADHU KODA.

Anil Agrawal (Retired) 25 November 2009

Some people are incorrigibly honest because they had no opportunity to become corrupt.

An honest officer:

I became corrupt because by occupying this chair, no body would have believed that I am honest.

Vineet (Director) 26 November 2009

Dear Shri MKG, please share some of your experiences/findings in the matter in this forum. it will be very difficult for us to go to Jharkhand or approach any worthy associate of Shri Koda.