The idea behind sharing information is focussed on identifying dormant companies that are misused for tax evasion and money laundering.
In the wake of the government stepping up efforts to curb the menace of black money, the Income Tax (IT) department will soon share PAN and ITR details of companies with the Corporate Affairs Ministry.
The idea behind the information sharing is focussed on identifying dormant companies that are misused for tax evasion and money laundering.
The IT department will share Permanent Account Number (PAN), Income Tax Returns (ITRs) and audit reports of corporates under section 44AB of the I-T Act as well as SFT (statement of financial transaction) relating to these companies, as per a report by PTI.
Moreover the Central Board of Direct Taxes (CBDT) has already issued an order on stipulated sharing of bulk I-T data with the ministry.
CBDT frames policy decisions for the Income Tax department which will also share identified PAN and Corporate Identification number (CIN), PAN-Director Identification Number (DIN) and any other information considered necessary for identifying dormant companies.
The move is aimed at checking and identifying shell companies and bogus firms that have been indulging in generation of black money through safe heavens.
More than 1.62 lakh companies have not been carrying out business activities for long. They have been de-registered and a series of actions has been taken against shell firms, the government had said.
Thursday, July 27, 2017