I-T dept launches crackdown against fraudulent claims of deductions

IN a massive crackdown against fraudulent claims of deductions and exemptions, the income tax department on Monday raided, in a coordinated manner, 150 premises of entities across states facilitating such deductions, especially against donations to political parties and charitable trusts.

- DIPAK MONDAL @New Delhi

The department on Monday said that the raids were conducted after a detailed analysis of the misuse of tax benefits under the Income-tax Act, 1961, often in collusion with professional intermediaries.

Investigations have uncovered organised rackets operated by certain entities and intermediaries which help filing ITR claiming fictitious deductions and exemptions, claims the tax department.