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.
The protesters, who gathered near the Sanskrit College Circle here, raised slogans glorifying Vishvesha Tirtha Swamiji of Pejawar Mutt and slammed the Dalit leaders, who raised voice against him.
Comments
Why is Pejawar seer, BJP and RSS hiding behind these sold out , so-called Muslims. why can't they come out on their own?
This is amusing. First ask pejawar seer why he keeps endorsing all the abuses and threats against the Muslims community during the \Hindu samajotsavas\" where he's the main organiser. Pejawar seer is the leading light of the VHP and Bajrang Dal. Please ask him to tell his group the VHP and Bajrang Dal to stop killing and raping Muslims (nowadays in the name of beef as well), then he can ask for their support. Thank you"
These are Muslims just in name. We need to know how much BJP & RSS has promised to give them for this publicity stunt. pejawar is behind the growth of the RSS and BD in the region, that has made life of Muslims miserable, and think they are 2nd class citizens. He was a leading light of the Babri demolition, and also behind the gau rakshaks who beat up and kill muslim traders . Instead of hiding behind these 'Muslims for rent', BJP and RSS should \protect\" Pejawar themselves, if they have any shame"
oh
Abdullah told good answer
Members of Udupi District Muslim Souharda Vedike (Bunch of Jokers in Udupi) , first of all you people protect yourself then talk about protecting the temple.
One of your hardcore Member (ANSAR) he himself is a THIEF, he had stolen gold at his own home in 2003, his father registered complaint in Udupi town police station. after investigation police arrested him.
Who is this Arif. Is he representative of Muslim community. I think such people led the protesters of sangh parivar to pelt stones to Masjids and shops/houses belongs to Muslims. I hope these ppl gave information to sangh parivars aboutthe Muslims who sacrifice animals. Is he really Arif and only a name given by sangh parivar to divide muslim community.
Muslims got high respect on Shri Krishna Matt . One should not cause any harm to mutt. Shri Pejawar Swamiji had gone all along from Udupi to Ayodhya to destroy the Babri Masjid.
Please dont call Muslims ... Call MRM sold outs... to cheddis
This Swamiji motivated the terrorist goons to demolish 5 century old Babri Masjid. thereby destroyed secularism in India. now needs the support of bone-licking munafiks
Let those mutt swamis chelas protect it....why muslims....go and protect yourself...from hell fire.....
Pejawar seer is known as as a hardcore advocate of RSS
well done. Thank you for staging protest and showing solidarity.. let's unite for good cause.
Dear Muslim Brother's.
First protect yourself from Hell fire.Later you can think of protecting other's. First learn about Islam then advise your Pejawar Sree about Islam and life after death.
Fear ALLAH,Obey Prophet Muhammed(pbuh).
It is a plan of pejawara.
his mutt has given some money to non practicing muslims (only name is muslim).
He want to devide dalits and muslims.
Mr. Arif how can say muslim community would be there to protect the thieves!!!???
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