New Delhi, February 7

Providing clarity on scrutiny of cash deposits made in banks post demonetisation, IT department said no questions will be asked about deposits of up to Rs 2.5 lakh and only those accounts will be probed that do not match the tax returns.

The IT department already issued notices to several customers after going through the bank accounts. The department gave clarification as there was no clarity whose accounts are under scrutiny.

They will not question account holders, whose accounts were deposited with Rs 2.5 lakh or less amount. The officials said that they will enquire the holders of those accounts which got deposits of more than Rs 2.5 lakh and whose income tax returns are matching with the deposits.

 IT department said cash deposits of Rs 3 lakh are “justified” if a person has an annual taxable income of Rs 10 lakh and the tax department will “not touch” him.

If Rs 5 lakh was deposited and have not filed return of last three years, then these accounts would come under scrutiny.

Cash Deposits

After demonetisation drive, the government focused on suspicious accounts. The IT department identified Rs 4.7 lakh crores deposits in 19 lakh accounts after note ban on November 8 last year.

Under the government’s ‘operation clean money’, the IT sleuths are questioning the identified suspicious accounts and probing them as to how they got the amount. The account holders have to give explanation within 10 days of receiving the notice.

If the account holders fail to give explanation before the deadline, then these accounts would be considered as suspicious accounts and the IT sleuths will take action against the depositors.

A few inoperative accounts were deposited with huge amounts whereas a few accounts got deposits from unknown account holders.

The central government launched Pradhan Mantri Garib Kalyan Yojana (PMGKY) as a last chance to announce undisclosed income after demonetisation.

The scheme was launched on December 17 and the deadline was March 31.

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