Income Tax Investigation of Suspicious Cash Deposited by 18 lakh people post demonetization – will be sent notices via Email and SMS

Income Tax Investigation of Suspicious Cash Deposited by 18 lakh people post demonetization – will be sent notices via Email and SMS

As much as Rs 4.17 lakh crore of suspicious cash was deposited by about 18 lakh people post demonetisation of high value currency notes, CBDT Chairman Sushil Chandra said on Thursday.

Of the people whose data the income tax department now has, email and SMS queries have been sent to 13 lakh people today, he said addressing a post-Budget seminar here.

"We have (accumulated) around 18 lakh persons data amounting to Rs 4.17 lakh crore deposits into accounts.

Another data (for) 10 lakh is ready. We want that this should be completed and we have today issued 13 lakh SMS and email to the persons about whom we have details," he said.

The rest of the 5 lakh people would be receiving SMS and emails tomorrow for clarification under the "Operation Clean Money".

The Central Board of Direct Taxes (CBDT), he said, is moving on a very fast track to ensure all untaxed are brought under the tax net.

The information on 18 lakh depositors is part of CBDT's 'Swachh Dhan Abhiyan' (Operation Clean Money) drive that uses data analytics and taxpayer profiling to detect potential tax evasion on cash deposits post November 8 decision to junk 500 and 1,000 rupee notes.

He said the Income Tax Department has identified 18 lakh people who have made "suspicious" cash deposits post demonetisation.

Chandra had earlier this week stated that 10 days' time would be given to people to reply to the e-communication, and replies can be filed by logging on to the e-filing portal of the I-T department.

In the initial phase, the CBDT has put on e-filing portal the data of those persons who have deposited Rs 5 lakh or more of suspicious nature and have poor tax compliance after November 8, Chandra said.

He said data on 18 lakh taxpayers has been uploaded on e-filing portal. These people while filing reply have to explain to the tax department the sources of deposits.

The deposits will be compared with the income profile, turnover and other parameters available in the income tax data bank to see if they match with tax paying profile.