Income Tax department steps-up actions under Prohibition of Benami Property Transactions Act
GN Bureau | January 11, 2018
Provisional attachment has been made by the Income Tax department in more than 900 cases of properties under the Prohibition of Benami Property Transactions Act, which came into force November 1, 2016.
These attachments include plots of land, flats, shops, jewellery, vehicles, deposits in bank accounts and fixed deposits. The value of properties under attachment is more than Rs. 3,500 crore, including immovable properties of more than Rs. 2,900 crore, said a press release.
In five cases, the provisional attachments of benami properties, amounting to more than Rs. 150 crore have been confirmed by the adjudicating authority. In one such case, it was established that a real estate company had acquired about 50 acres of land, valued at more than Rs.110 crore, using the names of certain persons of no means as benamidars. This was corroborated from the sellers of the land as well as the brokers involved.
In another case, post demonetisation, two assessees were found depositing demonetised currency into multiple bank accounts in the names of their employees, associates to be ultimately remitted to their bank accounts. The total amount attempted to be remitted to the beneficial owners was about Rs. 39 crore.
In yet another case, cash of Rs. 1.11 crore was intercepted from a vehicle with a person who denied the ownership of the cash. Subsequently, no one claimed ownership of the cash and it was held to be benami property.
Earlier, the income tax department had stepped-up actions under the Prohibition of Benami Property Transactions Act, which provides for provisional attachment and subsequent confiscation of benami properties.
It also allows for prosecution, which may result in rigorous imprisonment up to 7 years and fine upto 25 percent of fair market value of the property.
The department had set-up 24 dedicated Benami Prohibition Units under its investigation directorates all over India in May, 2017 to ensure swift action in respect of benami properties.
From Dependence to Self-Reliance: Mapping India’s Rise as a Global Superpower By Bimal Jalan Rupa Publications, 184 pages, Rs 695 Bimal Jalan, a former governor of the Reserve Bank of India (RBI), has been one of our finest commentators on econom
While many countries have been chasing to reach the carbon neutral status, only a few seem to be living up to their pledges as of now. The famous ’Paris Agreement’ of 2015 was glorified and celebrated that finally 196 countries have united with an intent to mitigate and reduce the greenhouse ga
The government this week announced the Tour of Duty or `Agnipath` scheme for the recruitment of soldiers in the armed forces. Under this scheme new soldiers will be recruited only for four years. This radical and far-reaching scheme has attracted mixed reactions from various quarters. While some officials
UPI has become an integral part of our daily lives now. We use it to buy groceries, we use it to send money to friends and family, we use it to purchase tickets, book shows, pay the cab driver, and a whole host of other things due to the ease and availability of such a platform at our fingertips. The best
Scorching Love: Letters from Mohandas Karamchand Gandhi to his son, Devadas By Gopalkrishna Gandhi and Tridip Suhrud Oxford University Press, 528 page, Rs 1495 Gandhi’s era happened to be an era when letter-writing was a primary mode of communica
Crediting the citizens of Mumbai for coming forward to help the police in combating the crisis situation due to Covid-19, Mumbai police commissioner Sanjay Pandey has said that Mumbai Police lost quite a few policemen during the pandemic but cumulative efforts, with citizens working hand in hand with the p