Over 3100 crore uncovered by IT department since demonetisation, Rs 86 crore new currency seized

In the 40 days since the demonetisation of high value currency notes, over 3,185 crore in undisclosed income has been detected and Rs 86 crore in new notes have been seized by the Income Tax department as a part of the crackdown on black money.

The government had demonetised Rs 500 and Rs 1000 notes on November 9 in a bid to curb corruption and black money.

According to a PTI report, officials from the income tax department carried out a total of 677 search, survey and enquiry operations under the provisions of the Income Tax Act since demonetisation.

In addition, it has also issued over 3100 notices to various entities for tax evasion and hawala dealings.

The department has seized cash and jewellery worth over Rs 428 crore during the period, out of which Rs 86 crore was in new currency (mostly Rs 2000 notes).

According to an official, the total undisclosed income admitted or detected as part of this action, till December 19, is more than Rs 3,185 crore.

The headquarters has also instructed officials to deposit the seized currency in bank accounts, instead of their own storage, to ensure that it stays in circulation.

Officials are also liasoning with the local police to understand how people are trying to convert or move black money.

The department has also forwarded 220 cases to other investigative agencies like the CBI and the Enforcement Directorate (ED) to probe other financial crimes like money laundering, disproportionate assets and corruption as part of their legal mandate.

The tax offices and Central Board of Direct Taxes (CBDT) are also coordinating with banks and RBI to keep a check on tax evasion and illegal profiteering leading to black money.