Pune horse owner Hasan Ali Khan has steeply pushed up the income tax (I-T) arrears to be recovered in Mumbai.
Out of the total arrears of Rs 1.44 trillion to be recovered from city taxpayers, Khan alone accounts for 35 per cent of the total amount.
He has to pay more than Rs 500 billion (Rs 50,345 crore) in tax, the demand notice for which has been sent to him on December 31 last year.
Khan who is suspected to have parked $8 billion (Rs 36,000 crore when the case first came to light) in an account in UBS AG, Zurich bank in Switzerland, was raided by the income-tax department in January 2007.
The I-T officials had then found Rs 90 lakh in his houses in Mumbai and Pune and had also seized a laptop containing data on transaction worth $8 billion.
Subsequently, the Enforcement Directorate also came in the picture to investigate the case under the Foreign Exchange Management Act (FEMA).
A senior I-T official said that Khan and his Kolkata-based associates, whose names figured in connection with the parking of funds in Swiss bank, together accounts for Rs 71,465 crore which is over 33 per cent of the total tax arrears in the country.
The total outstanding from top 100 taxpayers in the country is Rs 2.13 lakh crore.
The official said that the arrears gets updated when taxpayers who are issued demand notices in a particular financial year, fails to pay the same by March 31 of that fiscal.
“From next financial year, the demand becomes part of the arrears,” the official said.
On the demand made from Khan, the official said that he was asked to pay the tax on Rs 36,000 crore along with a hefty penalty which is about 300 per cent of the tax amount.
However, the I-T department is unable to move ahead in the case, as so far there is no official communication from the Swiss authorities on the huge amount parked in the bank there.
Even though the demand notice served to Khan on December 31 last year had asked him to pay the tax within a month, the I-T department has so far only provisionally attached Khan and his wife’s bank accounts together having around Rs one crore.
They have also provisionally attached his Pedder Road and Pune properties.
“Once there is official communication from Switzerland confirming the amount, there would be strong evidence against him which would help us in moving ahead in the case swiftly,” the official said.