Filing income tax returns: Here’s how to avoid being labelled a tax evader

The income-tax department on Wednesday warned salaried-class taxpayers against using illegal means while filing their returns, stating that violators would be prosecuted

Income tax department asks 10 PSU firms to pay more tax

Filing income-tax returns (ITRs)? Take note: Those who furnish incorrect information while filing ITRs will be reported to their employers and punished under the law, the Income Tax Department on Wednesday warned salaried-class taxpayers. The I-T department’s Central Processing Centre (CPC), which receives and processes ITRs, in Bengaluru, has issued a “cautionary advisory” warning taxpayers that they should not “fall prey” to tax advisors or planners who help them prepare wrong claims to get tax benefits.

The I-T department’s warning comes after its investigation wing in January unearthed a racket by employees of information technology companies based out of Bengaluru who werre allegedly helped by a tax advisor to get fraudulent tax refunds. Do you think this is a small matter? Think again. The Central Bureau of Investigation (CBI) recently registered a criminal case to probe this nexus.

The latest ITR-1 form, largely used by the salaried class of taxpayers, has been activated on the official e-filing portal of the income-tax department.

Here are the top 10 things that you need to know before filing your income-tax returns:

1) Don’t give wrong info in your ITRs: The Income Tax Department on Wednesday warned salaried-class taxpayers against using illegal means while filing their returns, stating that violators will be prosecuted and their employers will be intimated to take action against them.

2) No under-reporting of income or inflated claims: What ‘illegal means’ is the I-T department referring to? The warning refers to under-reporting of income or “inflating” of deductions.

Calling it a “cautionary advisory” on reports of tax evasion by under-reporting of income or inflating deductions or exemptions by salaried taxpayers, the I-T department said such attempts “aided and abetted by unscrupulous intermediaries have been noted with concern”.

3) Wrong claims to be seen as tax evasion: What action will the I-T department take if it detects such wrong information in your ITR? The taxman has warned that wrong claims will be treated as cases of tax evasion. Such offences are punishable under various penal and prosecution provisions of the Income Tax Act, it said.

The one-page advisory added that if the department notices any fraudulent claims in the ITRs, such claims “may be punishable under provisions of the IT Act and this may also delay issuance of their refunds”.

“Taxpayers, are, therefore strictly advised not to fall prey to false promises or mis-advice by unscrupulous intermediaries and submit wrong claims in their ITRs, which would be treated as cases of tax evasion,” said the advisory.

4) This advisory applies to government employees as well: In case government or public sector undertaking employees make wrong claims and are caught, the I-T department will inform the vigilance division of their place of employment. Subsequently. the vigilance division will take action under conduct rules.

5) Extensive risk analysis system to catch wrongdoers: How will the taxman catch you if you file wrong information in your ITR? The advisory added that the I-T department possesses an “extensive risk analysis system”. This is an automated system that has no human interface. It identifies persons who are non-compliant and aim to subvert the trust based-system “envisioned” while processing of ITRs at the CPC. “In all such cases of high risk, the department may examine and verify the details submitted by taxpayers in their ITR subsequent to the processing of returns,” it said.

6) Tax advisors and planners can be punished, too: The I-T department also asked tax planners and advisors to “confine their advice to taxpayers within the four corners of the IT Act” and warned that the violators will be prosecuted and such instances will also be referred to enforcement agencies like the CBI and the Enforcement Directorate (ED) for criminal prosecution.

7) ITR-1 forms available now: The latest ITR-1 form that is largely used by the salaried-class of taxpayers is now available on the official e-filing portal of the Income Tax Department. The single ITR form, notified by the Central Board of Direct Taxes (CBDT) on April 5, has been put on its website, https://www.incometaxindiaefiling.gov.in, on Monday.

Click here to read → Filing Income tax returns

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Tamil Nadu college sex scandal: Governor won’t resign; top 10 developments

Tamil Nadu Governor Banwarilal Purohit ruled out his resignation in the wake of a raging controversy over a sex scandal in a college in the state involving an assistant professor

Tamil Nadu Governor

Amid the raging Tamil Nadu Madurai Kamaraj University college sex scandal, Governor Banwarilal Purohit dismissed as “nonsense” and “baseless” an allegation that he was under the Union Home Ministry’s scanner for sexual misconduct. Purohit categorically denied any association with the college professor arrested for suggesting her students extend sexual favours to university officials in exchange for academic and financial rewards. Further, Purohit ruled out his resignation over the matter. Meanwhile, as political parties demanded a CBI probe into the matter, the Tamil Nadu Police chief ordered the transfer of the case involving an alleged attempt at sexual trafficking of college students by a professor to the Crime Branch-Crime Investigation Department (CBCID).

The female professor who allegedly tried to coax her students into extending sexual favours to top officials of the university in Tamil Nadu has been arrested. On Monday, Governor Purohit and Madurai Kamaraj University Vice-Chancellor P P Chellathurai had ordered a high-level inquiry into the matter by the retired IAS officer R Santhanam. On Tuesday, Governor Purohit had appeared to keep the option of a CBI probe into the sex scandal open, saying he would decide on it once the report of the one-man committee headed by Santhanam was submitted.

Purohit’s denial comes after a report in a daily in February this year claimed the Governor of a southern state was accused of sexual misconduct and that the Union home ministry was investigating the veracity of the allegation.

Purohit, who called an unusual press conference on Tuesday to promise a fair inquiry into the Tamil Nadu college sex scandal, was at the receiving end of reporters’ questions about the arrested female teacher allegedly making repeated references to him and whether he would resign to stay away from the probe. He was also asked how the probe appointed by him would be fair.

An assistant professor in the Devanga Arts College in Aruppukottai in Virudhunagar district, Nirmala Devi has been arrested on the charge of suggesting to some girl students that they yield themselves to keep the “higher-ups” in the Madurai Kamaraj University happy. She is heard making the suggestion in an audio clip that went viral over social media.

Here are the top 10 developments around the Tamil Nadu Madurai Kamaraj University college sex scandal that has brought Governor Banwarilal Purohit into spotlight:

1) Governor Banwarilal Purohit dismisses allegations as ‘nonsense’: Amid the raging Madurai Kamaraj University sex scandal, Tamil Nadu Governor Banwarilal Purohit dismissed as “nonsense’ and “baseless” allegations that he was the subject of a Union Home Ministry probe for sexual misconduct. “It is nonsense, baseless, totally baseless,” he told reporters at the Raj Bhavan in Chennai. In a report in a daily in February this year, it was claimed that the Governor of a southern state was accused of sexual misconduct and that the veracity of the allegation was being looke into by the Home Ministry. Subsequently, the ministry had said that it was not aware of any such alleged sexual misconduct by any Governor.

2) Purohit assures guilty in Tamil Nadu sex scandal will be punished: Governor Purohit said strict action would be taken in the Tamil Nadu college sex scandal and asserted that the guilty would be punished. “The matter is very serious… it should not have happened and the guilty has to be punished (sic),” he said. The Raj Bhavan asserted that swift action was being taken in an unbiased manner to bring out the truth in the matter.

Click here to read → Tamilnadu Government Banwarilal Purohit

We will not succumb, says NDTV in a statement after CBI raids Prannoy Roy

CBI registered a case for causing an alleged loss to ICICI Bank to the tune of Rs 48 crore

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The Central Bureau of Investigation on Monday registered a case against NDTV founder Prannoy Roy, his wife Radhika Roy, a private company and others for causing an alleged loss to ICICI Bank to the tune of Rs 48 crore, ANI reported.

Media reports said that according to the first information report (FIR) filed, the loan amount defaulted by Roy is for a company named RRPR holdings private limited.

The CBI also carried out searches at Roy’s residence at Greater Kailash-I in New Delhi.

NDTV has released a statement after the raids that says:

This morning, the CBI stepped up the concerted harassment of NDTV and its promoters based on the same old endless false accusations.

NDTV and its promoters will fight tirelessly against this witch-hunt by multiple agencies. We will not succumb to these attempts to blatantly undermine democracy and free speech in India.

We have one message to those who are trying to destroy the institutions of India and everything it stands for: we will fight for our country and overcome these forces. | READMORE…

Full text: Govt using CBI to target my son, alleges Chidambaram post raids

Chidambaram alleged that the Modi govt was trying to muzzle his voice

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Former Union minister P Chidambaram said that Tuesday’s Central Bureau of Investigation (CBI) raids at his and his son, Karti Chidambaram’s, residences were an attempt by the Modi government to muzzle his voice.

While no official word has come from the CBI, sources have said that the raids were conducted in connection with the Aircel-Maxis probe, where Chidambaram’s role as then finance minister in granting Foreign Investment Promotion Board (FIPB) approval to the deal has been called into question. Recently, the Enforcement Directorate (ED) had also searched Chidambaram’s house.

In his official statement regarding the Tuesday morning raids, Chidambaram said that the Modi government was using the CBI and other agencies to target his son. The Congress leader alleged that the government was trying to silence his voice and stop him from writing against its policies and actions.

“FIPB approval is granted in hundreds of cases,” the statement said, adding, “Every case was processed according to law and approval was granted or refused in accordance with the recommendations of the FIPB consisting of five secretaries to the Government of India.”

 

Below is the full text of his official statement:
FIPB approval is granted in hundreds of cases. The five Secretaries who constitute the FIPB, the officials of the FIPB Secretariat and the competent authority in each case are the public officials. There is no allegation against any of them. There is no allegation against me.

Every case was processed according to law and approval was granted or refused in accordance with the recommendations of the FIBP consisting of five Secretaries to the Government of India.

The government, using the CBI and other agencies, is targeting my son and his friends. The government’s aim is to silence my voice and stop me from writing, as it has tried to do in the cases of leaders of Opposition parties, journalists, columnists, NGOs and civil society organizations. All I will say is, I shall continue to speak and write. |READMORE…

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