The number of tax notices served to businesses since last week could be in lakhs.
After going after individuals who made suspicious cash deposits in banks post note ban in the country, tax sleuths are now targeting businesses that deposited lots of cash in corporate bank accounts in the second round of demonetisation tax notices.
An ET report quoted a Mumbai-based income-tax official as saying that the department has begun serving notices to entrepreneurs, including some prominent jewellers, diamond traders, textile merchants and real estate developers, who have deposited money in their corporate accounts.
The second round of tax notices zeroes in on "big fish", the official said. "Anyone who may have deposited unexplained cash in bank accounts after demonetisation has received notices. The tax notices were sent through emails of the taxpayers," he was quoted as saying.
The number of tax notices served to businesses since last week could be in lakhs, people with knowledge of the matter told ET.