IT Department conducts searches in Rajasthan and Mumbai; detects undeclared income worth Rs.100 crore

IT Department conducts searches in Rajasthan and Mumbai; detects undeclared income worth Rs.100 crore On June 16, 2022, the Income Tax Department conducted search and seizure operations against a commercial organisation that engaged in the retail and export sale of handicrafts, cash financing, the purchase and selling of land and buildings, as well as some bullion traders. More than 25 locations scattered throughout Rajasthan and Mumbai were searched. The search operation resulted in the discovery and seizure of various damning papers. Examining the collected material reveals that the group engaged in cash transactions in the real estate industry that were not recorded as well as the acquisition of phoney purchase bills. The group's strategy has been to stifle revenues from the handicrafts industry by exaggerating purchases in the books of account and arranging phoney gold and silver banknotes with bullion traders. The fact that cash has been received back in exchange for the checks that were given to these bullion traders has also been discovered throughout the search. Cash was discovered to be used for both purchasing checks to be entered as credits in the books of account as well as investing in real estate. The evidence that was obtained also showed that the organisation had lately purchased a number of shell firms through entry operators. Unaccounted cash worth more than Rs.1.30 crore and unaccounted gold jewellery worth more than Rs.7.90 crore have been seized as a result of the search operation. So far, it appears that undeclared income in excess of Rs.100 crore has been discovered. More research is currently being done.