I-T department detects Rs 36 crore TDS default by NCR-based realty firm

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NEW DELHI: The income tax (IT) department has detected alleged tax evasion of over Rs 36 crore, by way of TDS default, after it surveyed a real estate group based in the national capital region, official sources said.

While the group was not identified, officials said the business house develops and maintains high-end malls, residential and commercial realty projects in Delhi, Gurgaon and Noida.

They said the department has detected a Tax Deducted at Source (TDS) default of more than Rs 36 crore by the accused firm and it will file a criminal prosecution against it under the income tax law before a court here.

The action was undertaken by the TDS wing of the department.

As per TDS and I-T provisions, a person or a company has to deduct tax for several payments ranging from salaries to rent and payments to contractors above a specified limit.

The maximum punishment stipulated under the law for this offence is rigorous imprisonment up to seven years along with interest and penalty.

Source: Press Trust of India