They said that multiple bank accounts of the party was attached and frozen as part of routine procedure followed by the income tax department to recover tax dues, if an assessee fails to pay due tax.
They said the party had not deposited tax demand claimed by the department and move was aimed at safeguarding the claimed amount, and added that the accounts were operational without any restriction on deposit of cheque. However, a balance of Rs 115 crore has to be maintained in the bank account.
“This is a standard procedure for safeguarding revenue’s position in all taxation matters,” said the person. The income tax appellate tribunal has not offered any relief to the party and will hear the matter on February 21, the person said.
“The department is treating this case as another tax demand case and is going by the standard process to recover the due,” the person said. The matter pertained to a Rs 103 crore tax demand for the financial year 2018-19 , which after interest came to Rs 135 crore.
In 2021, Congress appealed against the decision and was directed to deposit Rs 21 crore, as per the requirement to file appeal.”The party deposited only Rs 78 lakh crore and then again Rs 1.75 lakh crore, which generated the necessity to dismiss their appeal and freeze the account,” the person said.
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