Mumbai: Jewellers declaring crores in Pradhan Mantri Garib Kalyan Yojana, raids by I-T

Raids were carried out by I-T sleuths at 16 locations in Thane, Kalyan, Dombivali, Boisar and Ulhasnagar. These jewellers are those who have deposited more than Rs 1 crore after November 8.

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Mumbai: Jewellers declaring crores in Pradhan Mantri Garib Kalyan Yojana, raids by I-T
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In Short

  • Jewellers who made huge cash deposits raided by I-T in Mumbai.
  • Raids were carried out by I-T sleuths at 16 locations in Mumbai.
  • Work is underway to study the accounts to make sure illegitimate transactions, said I-T.

Gold sold after demonetisation was shown as back dated sales. To escape the wrath of Directorate of Income Tax (I-T: Intelligence and Criminal Investigation), jewellers declaring money under Pradhan Mantri Garib Kalyan Yojana which allows you to provides an opportunity for Black money holders to disclose income in the form of cash with a penalty totaling in all to 49.9 per cent of the declared income.

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Raids were carried out by I-T sleuths at 16 locations in Thane, Kalyan, Dombivali, Boisar and Ulhasnagar. These jewellers are those who have deposited more than Rs 1 crore after November 8.

A list of 16 shops was prepared after which raids were carried out.

Also read: I-T raids on Jain Cooperative Bank, startling information emerges

Giving an outline of the investigations R K Yadav, Joint Director, I-T (Thane) said that Rs 7-8 crores has been declared under the scheme by few jewellers after the raids. "Declaring under the scheme doesn't mean that we will not analyse their accounts. Work is underway to study the accounts to make sure that illegitimate transactions during demonetisation are brought to books."

Just after demonetisation demand for gold saw a surge with people buying gold for cash at high rates. This money was later deposited in the banks as back dated sales. Enormous checks were brought in place by government but it was too late as all the jewellery shops had sold most of their stocks.

Also read: Demonetisation puzzle: How will PM's black money scheme work after Dec 30?