Income Tax Notices going out to those who deposit large amounts of cash

Income Tax Notices going out to those who deposit large amounts of cash

Income Tax Notices going out to those who deposit large amounts of cash

Notices are being issued where the department feels deposits in the demonetized currency is suspect.

Here is the Income Tax Notices story so far:

  • Income Tax notices to people depositing money in huge amounts
    Officials said the taxman has begun a country-wide enquiry in this regard and has issued notices under section 133 (6) of the Income Tax Act (power to call for information) in various cities and towns of the country.
  • Depositors have been asked to show source of income
    Acting swiftly, the Income Tax department has issued hundreds of notices seeking “source” of funds from individuals and firms who have deposited huge amounts of cash in banks using the scrapped Rs. 500 and Rs. 1,000 currency notes after November 8.
  • Government on November 8 banned Rs. 500 and 1,000┬árupee┬ánotes

“The notices are being issued where the department feels the cash deposits made in the demonetised currency is suspect. This is part of the vigil that the taxman has deployed to check instances of tax evasion, money laundering and black money in the wake of the demonetisation of the two high denomination currencies on November 8,” they said.

The notices issued by the department cite the date and amount deposited by an entity in the old currency in the bank as it goes on to seek “supporting documents, books of accounts and bills to explain the said cash deposits” from them.

Narendra Modi Notes

This is what Narendra Modi has done, with regard to his support base, with his demonetization scheme. The trader class and other sections of the newly monied, traditional BJP supporters and ardent Modi bhakts, have been hit hard by their cash hoards being stripped of value. They have to now pay a premium to convert their stash into new notes, and their business takes at least a temporary hit. Some of them might still retain their die-hard support for Modi, but most would feel betrayed.

Find out more

 

Comments are closed.