IT Dept conducts searches on two real estate groups of Bengaluru and Hyderabad

12 Jul 2022 , 09:44 AM

Income Tax Department carried out search and seizure operations on two leading real estate groups of Bengaluru and Hyderabad. Both the groups are engaged in the business of construction/sale/leasing of commercial/residential space, and educational and hospitality services. The search action covered more than 40 premises located in Bengaluru, Hyderabad and Chennai. During the course of the search operations, several incriminating documents and digital evidences have been seized. The initial analysis of the seized documents has also revealed that these groups have suppressed income to the tune of Rs 90 crore in respect of the revenue recognizable from the sale of units in real estate. Further, both the groups have indulged in tax-evasion by inflation of expenses in the construction and development business to the tune of Rs 28 crore, having claimed bogus purchases and resorted to over-invoicing of the construction materials. So far, the search action has led to the seizure of undisclosed cash of Rs 3.50 crore and gold, silver, jewellery worth Rs 18.50 crore. Further investigations are in progress. Powered by Capital Market – Live News