The Income Tax Department has detected unaccounted income totalling Rs 300 crore after it raided two Rajasthan-based groups engaged in the business of electrical goods manufacture and money lending respectively, the CBDT said on Tuesday.
The raids were carried out on December 22 and about 50 premises of the two unidentified groups located in Jaipur, Mumbai and Haridwar were covered.
“A preliminary analysis of seized evidence reveals that several entities, engaged in the business of manufacturing switches, wires, LEDs, etc., have been selling such goods which are not recorded in the regular books of account.
“…they were claiming bogus expenses to reduce taxable income,” the Central Board of Direct Taxes (CBDT) said in a statement.
Transactions evidencing undisclosed income of more than Rs 150 crore have been detected, said the policy-making body for the Income Tax Department.
It claimed that the “key person” of the group has “admitted” Rs 55 crore as undisclosed income and has offered to pay tax on it.
Analysis of seized documents relating to the other group has shown that most of the loans are given in cash and a relatively high rate of interest has been charged on these loans, the CBDT said.
“Neither the loans advanced nor the interest income earned thereon, have been disclosed in the returns of income of the persons engaged in this business,” it said.
Evidence relating to undisclosed income of more than Rs 150 crore has been detected in this group, it said.
The department also seized cash and jewellery worth Rs 17 crore from the two groups.