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    CBDT permits sharing of information by I-T authorities with scheduled commercial banks

    Synopsis

    "In pursuance of sub-clause (ii) of clause (a) of sub-section (1) of Section 138 of the Income-tax Act, 1961, the Central Government hereby specifies “Scheduled Commercial Banks” listed in the Second Schedule of the Reserve Bank of India Act, 1934 for the purposes of the said clause," the Board said in a notification dated August 31.

    Agencies
    The larger aim with information sharing is to counter tax evasion and widen the tax base in the country.
    The Central Board of Direct Taxes has permitted sharing of information by income tax authorities with scheduled commercial banks.

    "In pursuance of sub-clause (ii) of clause (a) of sub-section (1) of Section 138 of the Income-tax Act, 1961, the Central Government hereby specifies “Scheduled Commercial Banks” listed in the Second Schedule of the Reserve Bank of India Act, 1934 for the purposes of the said clause," the Board said in a notification dated August 31.

    Recently, similar notifications and memoranda of understanding have been issued for exchange of information between income tax authorities and Securities & Exchange Board of India, Central Board of Indirect Taxes and Customs, Ministry of Micro, Small and Medium Enterprises, Narcotics Control Bureau, Intelligence Bureau, National Investigation Agency, Cabinet Secretariat, Ministry of Agriculture, among others, Section 138 of Income Tax Act.

    The larger aim with information sharing is to counter tax evasion and widen the tax base in the country.
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    3 Comments on this Story

    Subramanian R R50 days ago
    the formation should be mutual between banks and CBDT, invariably the balance sheet the bank receives is inflated to avail the loan facility. The IT dept should accept the balance sheet as final and levy tax accordingly.
    H S B50 days ago
    Major issue is cash transactions are missing IT preview, it is where IT has to concentrate.
    Suresh Kamath50 days ago
    Good sensible STEPS these and MUST be used wherever these Bankers are NOT able to get the Promoters to PAY up these efficient Team of I-T Dept SHOULD raid their Premises and see that the MONEY EXPOSED is enough to RECOVER the LOOT done by these of PUBLIC Funds
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