India’s democratic dilemma
The fake news industry has grown by leaps and bounds under the tutelage of the BJP.
In its efforts to make the ongoing Pradhan Mantra Garib Kalyan Yojana (PMGKY) scheme successful, the Income-Tax department is leaving no stone unturned and is targeting all high deposits made during the demonetisation period. The I-T department has also cracked down on co-operatives where most high value cash transactions took place.
Though the finance ministry had promised that its motive is not to harass tax payers, sources said the government wants to ensure the scheme's success and will act tough in order to do so.
A senior income-tax official said the Enforcement Directorate (ED) had already cracked down on suspected black money hoarders who have tried to route invalidated currency through co-operatives and trusts. Since the PMGKY scheme notified last December, closes on March 31, it is known that the Central Board of Direct Taxes (CBDT) has directed "crackdown on every possible suspect to make the scheme a grand success".
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The official said, "so far we were waiting for people to come voluntarily and disclose their unaccounted income. But now we have to take stringent steps till the remaining days of the scheme."
In the earlier Income Declaration Scheme that concluded last September, the government mopped up Rs 67,382 crore from as many as 71,726 declarants. The current declaration scheme seemed to have lukewarm response. Since the I-T department is loaded with huge data, it has hired various agencies with new software analytical tools to catch suspects.
The tax department has sought online response from 18 lakh account holders where more than Rs 5 lakh has been deposited during the demonetisation period under the 'clean money operation'. So far it has received online response from about 9 lakh account holders.
Under the PMGKY scheme, a person is needed to deposit a total tax, penalty and surcharge of 50 per cent on the amount deposited after demonetisation and keep a quarter of that in the interest-free deposit scheme. Those who don’t disclose their unaccounted income and are caught would face 90 per cent tax and penalty.
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