The income tax department is tightening its noose on the high spenders who evaded mentioning permanent account number (PAN) in financial transactions.
For FY 2004-05, the department detected 1,200 transactions involving Rs 100 crore wherein PAN was not quoted.
These cases will be thoroughly investigated by the department and action will be initiated against the assessees if necessary, said Suprakash Lahiri, chief income tax commissioner (Vidarbha). PAN was quoted in 1,500 transactions involving a sum of Rs 400 crore, he said.
Refusing to disclose the identity of the assessees, Lahiri said the savings account in 183 cases saw deposits of over Rs 10 lakh. Two individuals deposited more than Rs one crore in their savings account. One is from Saoner while the other resides in Pune but is assessed in the tax region of Nagpur, Lahiri said.
An individual from Amravati used his credit card to settle bills amounting to Rs 39,32,700.
Twenty eight assessees had paid more than Rs one crore each for investments in mutual funds (MFs). These include one Hindu Undivided Family (HUF). Four individual assessees also paid more than Rs 50 lakh each towards investments in MFs. The department recorded 658 cases in this category, Lahiri said.
As per the provisions of section 285 BA of the I-T Act, 1961, any person who is responsible for registering, or maintaining books of account or other document containing a record of any specified financial transaction, under any law for the time being in force, has to furnish an AIR.
National Securities Depository Limited (NSDL) has been authorised by the Central Board of Direct Taxes (CBDT) to receive such return on behalf of the Commissioner of Income -Tax (Central Information Branch).