Keeping the heat on black money hoarders after demonetisation, the income tax (I-T) department on Friday said it has seized R106.52 crore in cash and 127 kg gold from a group engaged in sand mining in Tamil Nadu.
Keeping the heat on black money hoarders after demonetisation, the income tax (I-T) department on Friday said it has seized Rs 106.52 crore in cash and 127 kg gold from a group engaged in sand mining in Tamil Nadu.
The seizures were made following searches by the Investigation Directorate of the I-T department at Chennai on December 8. “During the search, Rs 96.89 crore cash in old high-denomination notes and Rs 9.63 crore in new Rs 2,000 currency notes along with gold weighing 127 kg worth approximately R36.29 crore were found and seized, as unaccounted assets,” the department said in a statement. Eight premises (six residential and two offices) were covered in the search. “The search is still in progress at four out of total eight premises,” it said. More specific details, including modus-operandi, would emerge after examination of the documents and other evidence detected during the search, it added.
As reports trickled in that people were using various methods to convert black money into white, the government introduced a Taxation Laws (2nd Amendment) Bill, 2016, earlier this week, which seeks to tax unexplained money deposited in banks post-demonetisation at the rate of 50% under a declaration scheme, while it could go up to 85% for those caught by tax department.
After November 8 scrapping of Rs 500 and Rs 1,000 notes, the I-T department has stepped up action against black money hoarders.