CHENNAI: Commercial Taxes Minister Agri SS Krishnamoorthy on Tuesday alleged that Dayanidhi, son of Union Minister MK Alagiri had committed tax evasion in his granite business company functioning in Madurai and steps are being taken to ascertain the extent of sales which is not shown in the records.
Replying to the discussion on the demands for grants for his department in the State Assembly, the Minister said the company in which Dayanidhi was a 50 per cent partner in Olympus Granites Private Limited in Kamarajar Road in Madurai division has been functioning from December 27, 2006. The sale details of this company according to the Value Added Tax (VAT) forms filed by it show very meagre amounts. Steps are being taken to ascertain the actual business done and the sales which were covered up in the past.
After the AIADMK government assumed office, the revenue through tax collection had gone up by 20 per cent, the Minister said and added that during 2010-11, the Commercial Taxes Department had earned a net income of `31,117 crore and as per revised budget, the target for the current financial year had been fixed at `37,196 crore.
For implementing the VAT, the Centre had paid `3,361.36 crore as compensation to Tamil Nadu while `650.44 crore was still pending. Similarly, in case of Central Sales Tax, the Centre had released `2,577 crore as compensation and had to pay `3,920 crore more.