Nearly 9 lakh accounts put under income tax scanner for suspicious cash deposits during demonetisation

Nearly half of the 18 lakh people under the Income Tax scanner for suspicious bank deposits during the demonetisation period, have been put in the 'doubtful' category. The action against them will follow only after the new tax amnesty scheme which ends on 31st of next month. 

Under 'Operation Clean Money', the I-T department had sent SMS and e-mails to these people, who had made deposits of over 5 lakh rupees during the 50-day window provided to get rid of old 500 and 1,000 rupee



notes. The Tax Department had asked assessees to submit response by Wednesday last to avoid enforcement actions under the I-T Act and other applicable laws. 

Since Pradhan Mantri Garib Kalyan Yojana (PMGKY) runs till 31st of March, action against any depositor can be taken only after this scheme closes as the depositor may choose to disclose the wealth and pay taxes. The verification will be closed if the cash deposit is declared PMGKY, the disclosure scheme for black money.