In the wake of reports of alleged profiteering and subsequent tax evasion by traders by converting withdrawn currency notes in an illegal manner, the Income Tax department on Thursday conducted multiple surveys in Delhi, Mumbai and other cities.
Surveys were carried out at least at four locations in the national capital including popular market places like Karol Bagh, Dariba Kalan and Chandni Chowk, three locations in Mumbai and few others in Chandigarh and ludhiana. Similar survey operations by I-T authorities are also understood to have been launched in Bangalore and Chennai.
Sources said the department had received “actionable inputs” that some traders, jewellers, currency exchanges and hawala dealers were allegedly exploiting the recent currency demonetisation of Rs500 and Rs1,000 notes and were changing currencies at “discounted” prices, thereby profiteering illegally.
They said the operations were planned after CBDT Chairman Sushil Chandra on Wednesday asked all the investigation units in the country to keep a check on suspicious movement of huge cash and other illegal transactions leading to tax evasion. Officials added that almost over 100 tax sleuths along with police officials have been roped in for the survey operations.
Senior I-T department officials said the Government’s directive to them is “very clear”, saying any instance of tax evasion and black money should be dealt with strictly, especially after two opportunities in the form of one-time stash declaration window has been provided.