NEW DELHI: The Income-Tax department on Friday said it has conducted raids at 40 premises of a Mumbai-based real estate firm and claimed to have detected tax evasion worth Rs 700 crore.
The CBDT, that frames policy for the tax department, issued a statement saying the operation was conducted on July 29 on a “prominent group involved in real estate development” and its premises in Mumbai and Pune were searched.
While the CBDT statement did not identify the group, official sources said it was the Hubtown group.
During the course of search operations, the statement said, the department unearthed evidences related to receipt of ‘On Money’ on sale of commercial and residential blocks, bogus unsecured loans taken, bogus Long Term Capital Gains (LTCG) and various other sham transactions to evade income aggregating to about Rs 700 crore.
“The search action has unravelled peculiar transactions wherein by way of accounting jugglery, income on transactions worth about Rs 525 crore has been evaded,” it said.
‘On Money’ receipt on sale of residential and commercial blocks amounting to Rs 100 crore has been corroborated during the search, the statement said.