Karnataka: Raid uncovers Rs 65 crore tax evasion by businessman
By Express News Service | Published: 03rd January 2018 03:17 AM |
BENGALURU: The Income Tax Department on Tuesday announced that it had in the past fortnight raided several premises belonging to a hair exporter in North Karnataka and had recovered cash worth `2.65 crore and other items. The total extent of tax evasion is suspected to be to the tune of `65 crore.
The investigation into the business of a hair exporter from North Karnataka led to the additional seizure of jewellery worth `2.5 crore and 140 kg of silver articles from the residences of the exporter. Officials found that even hair offered by devotees in temples resulted in tax evasion. They also seized incriminating evidences of tax evasion that has been going on for many years. It was found that second quality sales and wastage sales were not accounted for and declared in the IT Returns, apart from bogus billing of purchases to siphon of money into huge investments.
According to the IT department, human hair was also purchased from beauty parlours. Some inmates of ladies hostels were also in the business of cutting off and selling their long locks to earn some extra cash. The hair is exported to Africa and to European countries.