&w=3840&q=100)
Claiming false deductions? I-T dept steps up scrutiny, warns of penalty
Monika Yadav New Delhi
Listen to This Article
Tax experts are cautioning taxpayers against fraudulently claiming large deductions — such as inflated donations to charities, NGOs, or political parties, or exaggerated house rent allowance (HRA) claims — as the income tax (I-T) department has tightened scrutiny of such practices.
In many such cases, the department has levied a penalty of 200 per cent of the unpaid tax, making it a costly mistake for taxpayers, say experts. 'This year, taxpayers should be very careful,' said CA Chetan Daga, founder of AdvantEdge Consulting.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
7 hours ago
- Time of India
The RTO crisis: Return-to-Office mandates spark mass exodus of working moms across America
The American workplace faces a growing crisis as return-to-office mandates challenge many employees, particularly working mothers. Increased childcare costs, lengthy commutes, and inflexible schedules are prompting them to reconsider their jobs. While companies emphasize in-person work to enhance collaboration, many workers seek flexible options. The tension between corporate policies and employee needs highlights the need for adaptable work arrangements that support different personal situations and more productive workforce.. Tired of too many ads? Remove Ads Challenges Faced by Working Mothers Economic Implications Tired of too many ads? Remove Ads Corporate Response and Employee Sentiments FAQS: In recent months, a notable shift in workplace environment took place in the United States, particularly impacting working mothers. As companies execute stricter return-to-office (RTO) policies, many employees, especially those with caregiving duties, are facing new challenges that prompt them to reevaluate their employment corporations such as AT&T, JPMorgan Chase, Amazon and Ford have restarted full-time in-office work requirements, moving away from the flexible hybrid and remote models that became widespread during the COVID-19 pandemic. These policies mainly aim to enhance better collaboration and rebuild company culture but have unintentionally led to higher turnover among employees who are not able to comply with these demands due to personal most of the working mothers, returning to the office poses significant logistical and financial issues. Childcare costs have risen sharply, with expenses increasing by 21% since 2019, making it unaffordable for numerous families. Additionally, the time spent commuting and the need to be physically present in the office conflict with caregiving duties, leading to difficult decisions about continuing employment.A report from the U.S. Government Accountability Office (GAO) points out that rigid in-office mandates can be backfired, especially for employees with caregiving duties. The report suggests that flexible work arrangements can lead to enhanced employee retention and productivity, as they allow workers to balance their personal and professional lives more efficiently .The financial strain of returning to the office is not limited to childcare costs. Employees are also facing increased expenses related to travel, work attire, and food expenses. For example, federal employees, who had previously benefited from work savings due to remote options, are now experiencing a significant increase in yearly costs due to the return-to-office mandates In response to the increasing dissatisfaction, some companies are reconsidering their RTO policies. However, the shift towards a more rigid in-office persists in many organizations. Employees are expressing their concerns through various channels, including petitions and discussions on social media. The tension between corporate expectations and employee needs is becoming a centre point in discussions about the future of work culture.A1. A return-to-office mandate requires employees to work from the physical office instead of remotely. Many companies are enforcing these policies after widespread remote work during the COVID-19 pandemic.A2. A hybrid work model combines working both remotely and in the office. It offers flexibility to employees while maintaining some in-person collaboration.
Time of India
8 hours ago
- Time of India
I-T team from Tamil Nadu carry out searches in Ranchi
Ranchi: Income tax (I-T) department teams from on Tuesday morning concluded their surveys at two locations linked to Ranchi-based trader Kamal Singhania on Kanke Road and Ormanjhi areas of the district. Tired of too many ads? go ad free now Sources said the surveys were part of the I-T action against the company, Kaliswari Fireworks Private Limited, based in Tamil Nadu. The teams started the surveys at the two places in Ranchi on Monday morning and were assisted by the local I-T officials. The local I-T officials, however, did not divulge any information on their raids, saying the case was not related to them.
Economic Times
10 hours ago
- Economic Times
10 friendly moves taken by government for small taxpayers: Know how these will simplify ITR and GST
ET Online 10 friendly moves taken by government for small taxpayers: Know how these will simplify ITR and GST The Ministry of Finance has said in a written reply to Lok Sabha that the government has implemented various measures about income tax and GST laws that aim to make the process simpler for small taxpayers. Some of the simplification measures undertaken in income tax laws include availability of income tax return (ITR) filing through online, offline and excel utilities, updated Form 26AS, AIS, others. With regard to GST, the ministry said that an auto-generated return with editing facility is being provided to the taxpayers on the portal based on details of the outward supplies furnished by the taxpayers and their suppliers. Pankaj Chaudhary, Minister of State, Finance, provided this information in Lok Sabha on Monday (August 11, 2025) in reply to a starred question No 3651 from Dharambir Singh, member of Parliament (MP) from the Bhiwani-Mahendragarh Lok Sabha constituency in Haryana. ET Wealth Online tells you about the 10 prominent moves that the government claims to have taken in the interest of the small taxpayers made in ITR filing for small taxpayers The minister said that the Income Tax Department has provided a pre-fill of relevant income and tax-related information in ITR to simplify tax filing procedure for small taxpayers. Also Read : Online ITR filing charges across six tax filing websites compared for AY 2025-26 Information Statement and Form 26AS He said that the I-T Department has also provided the Annual Information Statement, Form 26AS and Taxpayer Information Statement to the taxpayers to help them know their transactions for the purpose of preparing and filing of the ITR from the e-filing portal. 3. E-filing mode available in online, offline and excel utilities Chaudhary also said that the I-T Department has also made e-filing mode available in online, offline and excel utilities, giving more choice to the users. 4. Step by step guide to taxpayers for ITR filing: 'The Department has released videos which provide step by step guide to taxpayers with respect to the filing of ITR and associated queries. These videos are available in Youtube from the e-filing portal,' said the minister. 5. Simplifications made in GST filing for small taxpayers When asked how the government is facilitating small taxpayers regarding GST filing, Chaudhary said that to facilitate small taxpayers in making supply of goods through e-commerce operators (ECOs), the requirement of mandatory registration for intra-state supply of goods through ECOs has been conditionally waived off with effect from 01.10.2023. 6. Auto-generated return The minister said that to facilitate, and ease return filing process, an auto-generated return with editing facility is being provided to the taxpayers on the portal based on details of the outward supplies furnished by the taxpayers and their suppliers. He said, 'A new option has been provided to allow the amendment of outward supplies of goods or services for current tax period.' 7. Threshold limit for supply of goods The minister of state said that the threshold limit of annual turnover for supply of goods under composition scheme has been increased to Rs. 1.5 crore (other than some special category States) effective from 1st April 2019, which was initially Rs. 75 lakhs. 8. GST payment through UPI and IMPS Speaking about the additional features provided to taxpayers for GST payment, he said that UPI & IMPS have been provided as an additional mode for payment of GST to facilitate taxpayers and to further encourage digital payment. He said that the I-T department is making expeditious approval within seven working days where the applicant undergoes authentication of Aadhaar number while submitting the said application, and approval within 30 days where the applicant fails to undergo authentication of Aadhaar number or does not opt for the same. 9. District-level help desk for GST, tax-related queries Singh also asked whether the government has set up district-level helpdesks for GST and income tax queries. Chaudhary replied that Aaykar Seva Kendras (ASKs) at various locations in the country have been established on a requirement basis. Also Read: GST Amnesty Scheme update: Now you can file appeal against GST Amnesty Scheme order issued in SPL 07 form 'As on date, 457 ASKs centres have been established in different Income Tax Offices spread all over India. CGST Commissionerate across the country have fully operational GST Seva Kendras or helpdesks in their respective jurisdictions which extend help/guidance and address the grievances of taxpayers/citizens.' 10. Small trader tax-compliance training Asked whether the government is providing regular training to small traders and rural entrepreneurs regarding tax compliance, Chaudhary said that Taxpayers' Hubs are regularly conducted in Tier II and Tier III cities with the objective of enhancing tax awareness and promoting voluntary compliance. The Department also brings out Taxpayer Information Series Brochures every year to educate all taxpayers including small traders and rural entrepreneurs. Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. As 50% US tariff looms, 6 key steps that can safeguard Indian economy As big fat Indian wedding slims to budget, Manyavar loses lustre Why are mid-cap stocks fizzling out? It's not just about Trump tariffs. The airport lounge war has begun — and DreamFolks is losing Stock Radar: UNO Minda eyeing fresh 52-week high in next few weeks; check target and stop loss for long positions Buy, Sell or Hold: Antique recommends buy on Siemens; Avendus upgrades SBI to Buy post June quarter results Stock picks of the week: 5 stocks with consistent score improvement and upside potential of up to 25% Weekly Top Picks: These stocks scored 10 on 10 on Stock Reports Plus
