New Delhi : Continuing its crackdown on black money, Income Tax (I-T) department has conducted a search and seizure operations on a Karnataka-based business group engaged in road construction and irrigation projects claiming to have detected Rs 70 crore hidden income.
The tax department said that the search and seizure operations were carried out on October 28 and covered various premises located in North Karnataka.
In a press release issued on Wednesday, it said that search operations have revealed the company had been suppressing profits by booking bogus expenses in purchase of raw materials, labour expenses and payment to sub-contractors.
“The search action has led to detection of unaccounted income of more than Rs. 70 crore which has been admitted as undisclosed income by the assessee group. Further investigations are in progress,” the I-T department said.
The department further said that various incriminating documents including digital evidences indicating non-genuine claim of such expenses have been found and seized.
“Analysis of the same shows that unaccounted cash has been received by the key group person from such vendors/suppliers of materials.
It was also found that their own relatives/friends/employees were used as conduits in the name of subcontractors who neither executed any work nor did they have the capability/capacity to execute the work,” said the statement.
More Stories
India Hot Investment Destination For Western Corporate Giants: UN Report
Four Generations Ruled Delhi But Today They Can’t: PM
Crime Branch Issues Advisory to Protect Citizens from Online Investment Fraud