Not replying to I-T query may get you ‘non-statutory’ letter

OPERATION CLEAN MONEY

AS PART of its ongoing Operation Clean Money, the income-tax department has decided to send follow-up letters, non-statutory in nature, to those taxpayers who have not filed responses to SMS and e-mail queries. The tax department will also reach out to those taxpayers who are not registered on the department's e-filing portal.

“The tax department is of the view that taxpayers should not feel harassed. So it was decided that instead of notices, nonstatutory letters will be sent to taxpayers to nudge them to file responses to explain the source of deposits,” an I-T official said.

Also, those who have filed unsatisfactory responses on the e-filing portal will be asked to explain their replies online, the official added.

In the first phase, the I-T department had sent 18 lakh communications, out of which over 7 lakh have filed their e-responses, regarding cash deposits made during the 50-day window post demonetisation. Taxpayers were sent queries via e-mail and SMS regarding suspicious deposits of over Rs 5 lakh, asking them to explain the source of funds by 15 February on the portal.

Over Rs 4.5 lakh crore worth of suspicious deposits by 18 lakh people are under “verification” by the I-T department. As many as 5 lakh people out of these 18 lakh people who have been sent SMS and e-mail are not registered in the e-filing portal.

The department has alerted the field offices about the data of people who have not responded as well as over 5 lakh people who are not registered with the e-filing portal and they have been asked to send letters.

As per the data with the I-T department, deposits of over Rs 2 lakh totalling Rs10 lakh crore have been made in 1 crore bank accounts.