NEW DELHI :
Income tax officials on Monday conducted ‘surveys’ at the premises of Larsen and Toubro Ltd and Zee Entertainment Enterprises Ltd in connection with alleged tax evasion, said a government official, seeking anonymity.
In both the cases, officials visited the company premises across multiple locations, said the official.
Surveys, according to tax officials, are less extensive than searches, or ‘raids’, and can only be carried out during business hours and do not cover residential premises.
Both cases pertain to the alleged use of fake input tax credit and, to that extent, are related to tax evasion, he said, adding that several teams of tax officials were involved in the exercise.
Zee Entertainment said in a statement that tax department officials visited offices with queries. “The concerned officials of the company are providing all the required information and extending complete cooperation,” a company spokesperson was quoted as saying.
Email queries to L&T group remained unanswered at the time of going to press.
The government is extensively using data analytics to cross check genuine transactions based on data secured from multiple sources.
On Sunday, finance secretary Ajay Bhushan Pandey told Mint in an interview that the income tax department, goods and services tax (GST) authorities and other law enforcement agencies are taking concerted actions to check tax evasion.
“Whenever GST evasion is detected, the cases get automatically transferred to the I-T authorities and they also look into the cases,” he said.
GST authorities have been on a drive against the issue and use of fake invoices since mid-November, which has led to 187 arrests so far. Those involved in issuing fake invoices set up companies across jurisdictions and, by the time local officials catch up with them, they shut shop and move to another location, explained an official involved in GST compliance, also seeking anonymity.
Such activities have led to tightening of the process to grant GST registrations and of using tax credits wherein the seller fails to upload invoices.
Earlier, most income tax department searches were conducted on real estate developers, jewellers, hawala dealers, liquor and mining businesses, financial services companies and metal processing units.