Srinagar, Dec8, Buzzbytes:
In response to rising instances of fraudulent and bogus deductions, the Income Tax department has issued a stern warning to taxpayers, urging them to rectify any “wrongly-claimed” refunds before December 31 to avoid penalties and potential prosecution. The department emphasizes the need for supporting documents for claimed deductions in the Income Tax Returns (ITR) for the fiscal year 2022-23 (Assessment Year 2023-24).
A spokesman for the Income Tax Department highlighted the consequences of claiming deductions without proper documentation, stating, “If you have claimed any deduction in your ITR for FY 2022-23 for which you have no supporting documents and you have claimed a refund of your Tax Deducted at Source (TDS) wholly or partly, you may soon land up in trouble and pay a heavy price for claiming such refunds by paying a penalty of 200%.”
The department is actively monitoring taxpayers, with a particular focus on salaried class employees in various government departments, paramilitary forces, and armed forces. Cases of fraudulently claimed bogus deductions and exemptions in ITRs over the past few years are under scrutiny.
The warning serves as a reminder for taxpayers to ensure the accuracy and legitimacy of their claimed deductions, reinforcing the importance of adherence to tax regulations. The Income Tax Department’s vigilance aims to maintain the integrity of the tax system and deter fraudulent practices, particularly among salaried individuals associated with government institutions and security forces.
