MP IT-raids yield Rs 12 crore
Income tax raids at several places across Madhya Pradesh have yielded Rs 12 crore, an official said.bhopal Updated: Mar 24, 2010 15:24 IST
Income tax raids at several places across Madhya Pradesh have yielded Rs 12 crore, an official said.
The income tax department, in a major action against civil and road contractors of the state, Tuesday began the operation in seven cities, including Bhopal. Incriminating documents indicating huge tax evasion were found in the raids as those covered in the operation were showing handsome turnover but less profits in their income tax returns.
"The contractors under survey have agreed to surrender Rs 12 crore. This is probably the first time that such huge amount was agreed for surrender during a survey operation," an income tax department official said.
"We have already received statements of surrender along with commitments of Rs 12 crore to pay tax on the undisclosed amount from contractors of Bhopal, Jabalpur and Gwalior," said the official.
Survey operations were carried out at Bhopal, Gwalior, Jabalpur, Chhindwara, Damoh, Rewa and Shahdol on contractors having annual turnover of Rs 50-100 crore.
Income tax officials claimed that large number of incriminating documents have been found from majority of those civil and road contractors undertaking state government projects, establishing that expenses have been grossly inflated to avoid payment of tax.
"Prima facie, it appears that civil and road contractors, covered during the survey, were involved in tax evasion," said Income Tax Commissioner Kamlesh Argal.
The quantum of tax evasion would be assessed only after verification of books of accounts, he said.