IT dept detects multi-crore tax evasion after raids on 2 TN groups

 

The Income Tax Department has detected tax evasion worth crores of rupees after it recently raided two Tamil Nadu based groups engaged in jewellery, textiles and home appliances sales, an official statement said on Tuesday.

The searches were carried out on December 1 at the showrooms of the unidentified groups in Chennai, Coimbatore, Madurai and Tirunelveli.

The Central Board of Direct Taxes (CBDT) said in a statement that Rs 10 crore cash and jewellery worth Rs 6 crore was seized by the department during the operation.

It described the tax evasion charges against the two groups.

In the case of the first group, it said, seized documents show that the assessee had been actively involved in “systematically suppressing” sales by manipulating their books of accounts. “The extent of suppression of sales is found to be more than Rs 1,000 crore over a period of several years,” it said.

It was also found that the assessee had made unaccounted cash purchases of about Rs 150 crore in textile division and jewellery division during the past few years, the statement said.

In the case of the second group, “incriminating” material shows that the assessee group had obtained “bogus bills” from a set of parties to the tune of Rs 80 crore and hence “suppressed” taxable income. “Evidences relating to unaccounted purchases of gold have also been gathered. The assessee group is found to be debiting inflated making charges of jewellery,” it alleged.

Unaccounted rental receipts and scrap sales of about Rs 7 crore have also been detected, the CBDT said.