The Central Board of Direct Taxes (CBDT), the apex policy-making body of direct taxes, has mandated the Income Tax Officials to finish the exercise of issuing notices as part of ‘Operation Clean Money‘, to those persons who deposited high volume of money in their bank accounts post-demonetization.
Reportedly, the Board directed to speed-up the process of raising tax demands on those who either concealed or generated black money in the wake of the notes ban of November 8, 2016.
As reported by ET, a senior official said that the Board has issued a Central Action Plan (CAP) for the first quarter of the new financial year yesterday where it asked all tax department offices in the country to finish the exercise by May 31. As per reports, it has been mandated that all processes should be completed by May 31, in cases where such notices have been issued till March 31.
The Income Tax Department has been issuing notices to such depositors under sections 142(1) and 148 of the Income Tax Act before launching full action against them.
The department had launched an ‘Operation Clean Money‘ (OCM) to check black money post demonetization.
It also mandated to complete verification of high-value transactions data and suspicious transactions made without quoting PAN (Permanent Account Number) by June 30.
According to official data, 17.73 lakh suspicious cases involving Rs 3.68 lakh crore have been identified by the taxman in 23.22 lakh bank accounts post demonetization.
During the period between November 9 and March 2017, the income tax department had conducted 900 searches and seized assets worth Rs 900 crore.
The searches led to the disclosure of Rs 7,961 crore undisclosed income, according to official data.
The CBDT had also selected over 20,000 cases of returns filed post the note ban for the detailed procedure of scrutiny by the taxman.
