Taxman gets cracking on benami deals

Tribune News Service

New Delhi, May 24

The Income Tax Department has initiated action under the new Benami Transactions (Prohibition) Amendment Act, 2016, and identified more than 400 benami transactions up to May 23.

These include bank deposits, plots, flats and jewellery. Provisional attachment of properties under the Act has been done in more than 240 cases. The market value of properties under attachment is more than Rs 600 crore. Immovable properties have been attached in 40 cases with total value of more than Rs 530 crore in Kolkata, Mumbai, Delhi, Gujarat, Rajasthan and Madhya Pradesh.

An official statement said the government was keen on implementing the new Act in an effective manner with visible outcome on the ground. For this, 24 dedicated benami prohibition units (BPUs) have been set up all over India in the last week. These units are under the overall supervision of the Principal Directors of Investigation in the Income Tax Department to enable swift action and follow up, especially in cases where criminality has been detected.

The tax department undertook searches on 10 senior government officials during the past one month, keeping in view its policy to unearth black money earned through corrupt practices and introduce accountability and probity in public life.

The Prohibition of Benami Property Transactions Rules, 2016, entail that benami property includes movable or immovable property, tangible or intangible property, corporeal or incorporeal property. It empowers provisional attachment and subsequent confiscation of such properties. It also allows for prosecution of the beneficial owner, the abettor and the inducer to benami transactions.