The tax service detected “unrecorded” income of more than ??300 crore after raiding two private union fundraising groups in Chennai, the Central Direct Taxes Council (CBDT) said on Saturday.
By Press Trust of India, New Delhi
POSTED SEP 26, 2021 00:00 IST
The Income Tax Service has detected “unrecorded” income of more than ??300 crore after raiding two private union fundraising groups in Chennai, the Central Direct Taxes Council (CBDT) said on Saturday.
The searches were carried out on September 23 at 35 premises in Chennai.
“The searches, so far, have detected undisclosed income of more than ??300 crore and unrecorded cash of ??9 crore was seized, ”CBDT said in a statement.
Evidence found at the premises of the financiers and their associates revealed that these groups have loaned to various large corporations and businesses in Tamil Nadu, a substantial portion of which is in cash, the statement said.
The department detected that the groups “charge high interest rates, part of which is not offered for taxation.”
“The modus operandi adopted by the groups has revealed that most of the interest payments by the borrowers are received in fictitious bank accounts and that they have not been disclosed for tax purposes,” said the governing body. of the tax department.
“Unaccounted money” is disguised and carried on the books of groups as unsecured loans, sundry creditors, etc., the CBDT said.
Many undisclosed real estate investments and other income cut-offs by these people were also found, he said.