 "'BJP engaging in tax terrorism': Congress on Rs 1,700 crore I-T notice")
After receiving a fresh notice amounting to Rs 1,700 crore from the Income Tax (I-T) department over discrepancies in tax filings from previous years, the Congress has alleged that the Bharatiya Janata Party (BJP) is engaging in ‘tax terrorism’ to cripple Opposition parties ahead of the 2024 Lok Sabha elections.
“The BJP is engaged in tax terrorism and efforts are being made to financially cripple the Congress,” Congress leader Jairam Ramesh said during a press conference on Friday.
Senior party figure Ajay Maken, addressing the media, also accused the BJP of flagrant breaches of tax regulations, advocating for the Income Tax department to demand over Rs 4,600 crore from the BJP.
According to a report by The Times of India (ToI), the Income Tax department issued a fresh notice amounting to Rs 1,700 crore to the Congress party earlier this week, citing discrepancies in tax returns from FY17 to FY21. This sum includes tax penalties and accrued interest.
This development follows a prior notice from the Income Tax department concerning "unaccounted transactions" totalling Rs 523.87 crore spanning the period from 2014 to 2021. These revelations have adversely impacted the party, particularly after the recent withdrawal of Rs 135 crore from its bank accounts by the tax authorities due to outstanding dues. The "unaccounted transactions" were unearthed during Income Tax raids conducted before the 2019 Lok Sabha elections.
In March, the Congress party's appeal before the Income-Tax Appellate Tribunal (ITAT) seeking a stay on the withdrawal of Rs 135 crore was unsuccessful. Additionally, on March 22, the party's challenge against the search operations conducted by the Income Tax department was also dismissed by the Delhi High Court. The party had contended that these actions were "time-barred" and constituted a "delayed action".