Tamil Nadu businessman deposits Rs. 246 crore and pays 45% as tax!

March 27, 2017, Chennai

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A businessman from Tiruchengode at Namakkal district in Tamil Nadu got into legal trouble after depositing Rs 246 crore cash at an Indian Overseas Bank branch, said reports.

IT officials were quoted as saying that the man (whose name has not been revealed) was being tracked for 15 days after he deposited the case in demonetised currency notes.

Though he tried to hide, after a fortnight he agreed to join the Pradhan Mantri Garib Kalyan Yojana (PMGKY) and pay 45% of the total money as tax.

More than 200 individuals and companies have deposited around Rs 600 crore in unaccounted money in various bank accounts in Tamil Nadu and Puducherry after demonetisation.

“Most of them have joined the PMGKY scheme, which comes to an end on March 31. We hope the total unaccounted money will go up to Rs. 1,000 crore before the month end. We are also warning people who are still not on board that the heat will increase from April 1,” an IT official was quoted as saying.

Under PMGKY, people with unaccounted money can deposit it in cash, cheque, demand draft or through the electronic route in any bank accepting direct tax payments.

While 50 per cent of the money gets taxed, 25 per cent is kept as a non-interest four-year bond with the RBI. The rest can be used by the defaulter. But any money obtained by laundering or through criminal activities cannot be accepted under PMGKY.    

Source: Deccan Chronicle