Search proceedings in Gujarat by Income Tax Department

New Delhi, dated 02-08-2022

6 crore people pay income tax in India, which pays 60 lakh crore tax. In which 5.75 crore salaried or individual taxpayers pay tax of Rs 21 lakh crore. There are 12 lakh joint Hindu families, 13 lakh firms, 10 lakh companies and BOIs.

The maximum number of 20 lakhs falls on firms or companies. Business people pay 25 lakh crore tax, income tax is 1 lakh crore.

But the central government is saying something else. Revenue Secretary Tarun Bajaj announced that India’s tax collection reached a record high of 27.07 lakh crore in 2021-22 due to increase in income and other direct taxes as well as indirect taxes.

The Income Tax Department conducted a search and seizure operation on 20.07.2022 on a prominent business group engaged in various sectors of Textiles, Chemicals, Packaging, Real Estate and Education. The search operation covered a total of 58 locations spread over Kheda, Ahmedabad, Mumbai, Hyderabad and Kolkata.

As a result of the search operation, various incriminating evidence in the form of documents and digital data have been found and seized. These evidences suggest that the group engaged in large-scale tax evasion through various means, including selling unaccounted cash outside the books of account, booking fraudulent purchases and receiving money from real estate transactions. The group has also been found to be involved in the level of unaccounted money by way of share premiums of shell companies based in Kolkata. There have also been some examples of unaccounted income generated from cash based ‘sarafi’ (unsecured) advances.

It was also found that the group was involved in profiteering by the operators by manipulating the share prices of their listed companies. The seized evidence also shows that the group is laundering funds through fake entities for the personal use of the promoters. Further, analysis of evidence reveals that the group is also involved in manipulation of the books of accounts of its public limited companies.

The search operation has resulted in the detection of unaccounted transactions of over Rs 1000 crore. The unaccounted cash so far is Rs. 24 crores and unaccounted jewellery, bullion etc. approx Rs. 20 crore rupees have been seized during the search.

Further investigation is going on.

For more than six years, the Income Tax Department’s office in Gandhinagar, the capital of Gujarat, has been housed in a rented building. In which posts and 30 posts are vacant. The reason behind this is simply that there is no place for them to sit. The office operates on two floors, Sector 11, Gandhinagar, Near Udyog Bhawan, Additional Income Tax Office Building, 6JCW + RHJ.

At least 80 people are employed in the IT department in Gandhinagar. Of these, 50 officers are upset.

A cabin is allotted for top officials as per the protocol of Income Tax Department, but unfortunately there is not enough space in the office. There are minimum postings and transfers in Gandhinagar division due to cabin and seating area.

Demanded to allot a new office but no reply to Ji since six months, a file is going from one section to another. The Income Tax Department had bought land for a new Income Tax office six years ago. It is located in the Secretariat complex of Sector 11. This conspiracy is still lying to them.

The Income Tax Department also has its own offices in smaller cities like Kutch, Jakot and Vadodara.

struggle for basic amenities

Despite faceless assessment, the Income Tax Department does not even have an advance computer. The technology does not match.

The Income Tax Department of Gandhinagar comes under the head office located at Ashram Road, Ahmedabad.

On the other hand no one works in Kutch, where there is a good office.

The Income Tax Office of Gandhidham, which once kept the entire Kutch under its jurisdiction, is now without an owner. Gandhidham range has been kind of abolished and it has been made operational under Rajkot, now any movement or agitation in the office has disappeared, once in the month of March, all operations now work in this office. They are not working like it is now, it is discussed that they do not even set foot in the office.

Keeping in view the economic development in Kutch, the Gandhidham range was further strengthened by giving a different look to the functioning under Rajkot Commissionerate. While the Central GST Department has also worked on these lines, the local role of the Range has become blurred as the entire work has gone online like reverse Ganga. Sources say that the work coming online from other places is being handled from here, but people are saying that the chief officer in the office is very busy and is busy in lunch break of two and a half to three hours.

Sources say that after the new rules, the survey rights have also ended, there were complaints in the past that there was malpractice in the name of the survey and raids were conducted in the office. His side could not be ascertained as local authorities could not be contacted.