Now even the salaried employees will be under the sharp gaze of the tax sleuths. The income tax department has cautioned salaried taxpayers against using illegal means like under-reporting of income or inflating deductions while filing their returns. The consequences could include criminal prosecution too.A few cases that came to light in January in Bengaluru alerted the income tax department to what seemed a pervasive trend. Loss from house property refers to the loss suffered by the taxpayer in occupying or renting out the house he owns against interest paid on the housing loan. Some of these employees were also questioned in their respective offices.Now, the CBI is investigating this revised tax returns fraud.

Source: Economic Times April 19, 2018 08:27 UTC