Mumbai, Feb 12: The Income Tax department's Criminal Investigation wing has identified 2,000 Indian citizens who hold properties in Dubai but had failed to declare it in their IT returns.
In its ongoing crackdown on black money, the agency has identified Indian citizens who purchased properties in Dubai but failed to declare and explain the source of funds used to purchase these properties.
In the past few years, people have used shell companies to route illegal money and buy overseas properties to evade income tax.
However, the tax department has now increased its efforts to track down those involved in major tax evasion cases.
The 2,000 persons and companies identified mainly include businessmen, top professionals, and government officials.
The IT department will initiate action against the accused under the Black Money Act.
Citizens who own properties outside the country but fail to declare the source of funds or income used for the purchase could be prosecuted under the Black Money Act.
Under Section FA (Foreign Assets) of the Income Tax Act, an individual has to declare purchase and ownership of properties, assets, companies owned outside the country while filing the income tax returns annually.
In the recent drive against black money, the IT department identified 2,000 Indian nationals who failed to provide information on the same while filing IT returns.
Of the 2,000 citizens owning properties in Dubai, around 600 could not furnish details regarding purchase details.
Those who haven't been able to explain the source of funds used for the purchase of properties could be prosecuted and their properties can be attached by the agency.
Other than the attachment of the property, they can face a monetary penalty up to 300 per cent of the property value and also face imprisonment under the Black Money Act.
The properties owned by Indians in Dubai raised red flags as this pattern of parking money is used by money launderers, smugglers, underworld gangsters and drug traffickers for making payments.
It is worth mentioning that of the 2,000 citizens identified, most are residing in Mumbai, followed by Kerala and Gujarat.
The clause under section FA (foreign Assets) came into effect in the year 2011-12 and it is mandatory for people owning properties outside India to declare it in their IT returns.
Those identified by IT department could also face action under FEMA (Foreign Exchange Management Act) by the Enforcement Directorate under Section 4.
Recently the Enforcement Directorate (ED) launched a crackdown on black money parked overseas by tracking and identifying immovable assets bought overseas by Indian nationals illegally.
The move is being carried out under rules laid down under Section 4 of FEMA (Foregn Exchange Manipulation Act), 1999. Section 4 of FEMA states that no person resident in India shall acquire, hold, own, possess or transfer any foreign exchange, foreign security or any immovable property situated outside India.
On January 17, the Enforcement Directorate (ED) conducted searches at the residence of a former chief engineer of Brihanmumbai Municipal Corporation (BMC) in connection with an inquiry related to FEMA.
In the raids, the ED officials recovered documents related to the purchase of a property in Dubai in an allegedly illegal manner.
The ex-BMC chief engineer was posted with some of the most crucial wings of the municipal corporation -- the building proposal department and development plan department.
The agency did not disclose the name of the ex-BMC chief engineer but it has been learnt that he had superannuated around seven years ago from the municipal corporation.
ED, in a statement, said incriminating documents with regard to illegal acquisition of a property held in Dubai was recovered during the search operation.
The former BMC chief engineer has stated that he had purchased the property in Dubai at 'Park Island, Bonaire Marsa, Dubai' for Rs 70 lakh in 2012. The property is held jointly in his name, his spouse and son.
The retired BMC officials could not furnish any documents which would help ascertain the value of the property and also could not provide details on how the payments were made to buy the property in Dubai.
The citizens identified by the IT department recently also adopted a similar route to buy property in Delhi. It remains to be seen how the income tax department plans to penalise them.
Comments
Islam is not a religion to add membership to show the population.
It is a true religion to practice guidelines of only one creator Allah (S.B.T). Accepting and quitting Islam will not make any difference for true Muslims. One who understands his creator will not reject his religion even if he dies because his life starts after death which is unlimited. The life in earth is so short that we can compare to hotel stay for a day.
Rejecting Islam means he is rejecting his creator Al Mighty Allah and it doesn’t mean he is quitting from Islam
Islam is the second largest religion in the world only in Qty. where is true Muslim? very few in qty
Accepting Islam doesn’t mean becoming membership in Islam. It is accepting his creator and his guidelines to practice successful and peaceful life and thereby prepare for his permanent life which starts after his death.
For true Muslims there is no fear to die. because he is always prepared and waiting for his death
May Almighty Allah guide us True path and success.
This is really unfortunate. He has chnged in religion only to get the verdict in his favor. Suppose he wont get it, will he convert to Christianity or Budhism or Sikhism? Will the media give same preference in case he would have changed to religion other than Hinduism or if any Hindu converted to another religion. This issue is now on the top agenda of Media and they are publishing it by applying ghee + butter. None knows truth behind it. However this family will not succeed in this world and the life after death if they convert to other religion though none can force them to change the religion. Islam or Muslims will not lose anything if this family converts to another religion. But this family will lose and they will realise it sooner or later. Let us pray God to keep them on right path and not on the path of Sathan.
he would have converted to christinaty so he can get international help from devil DOnald trump or vatican pope, lol religion is your choice, but the main point here the god look at is your heart, how you treat mankind & how you obey GOD command, how to spend you money & how you live..people who worship idol will be throwen to hell forever there is no excuse and the punishment is very severe, if your an eithest there will be a change & it depend on GOD & also how you lived in earth.
The religion is set of law decreed by the CREATOR/ ONE AND ONLY GOD.
It guides from birth till death and showing how to be also succesful in the life after the death.
This is not how we think just to suite the temporary needs.
Before accepting or rejecting any religion, he should have thorough idea of its teachings.
Unless it is known, believed in it and practiced, we can not call him the follower of Hinduism OR ISLAM, OR Christianity OR whatever.
Like changing for personal temporary gains, has no meaning and not required they can live like aninals which have no religions.
The animals follow and do whatever easy for them.
God give wisdom to all
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