"They also deposed that, out of the refund received, the auditor (CA) had charged 10 per cent as incidental charges. Some WhatsApp messages with auditor were also shown by them, as supporting evidence," it said.The CA, instead, told the taxman that he filed those bogus claim refunds at the "insistence of his clients". "Further enquiries like examination of his (CA's) other clients and cross examination of them with the CA are being conducted. "The Income Tax department now does automated and faceless return processing and issue of refunds. "Such fraudulent schemes will invariably be caught out and will result in penal action on the taxpayer.

Source: Economic Times January 25, 2018 11:03 UTC