Income Tax dept recovers Rs 65 crore from Congress; Party approaches ITAT, files complaint
According to sources, the party said that the Income Tax Department, in enforcing its lien, prematurely encashed some bank balances without awaiting the outcome of the scheduled hearing before the bench.
FollowThe Income Tax Department has made a significant recovery of Rs 65 crore from the Indian National Congress, addressing a part of the total outstanding tax dues amounting to Rs 115 crore. In response to this development, the Congress party has taken swift action by approaching the Income Tax Appellate Tribunal (ITAT), filing a formal complaint, reports said.
According to sources, the party said that the Income Tax Department, in enforcing its lien, prematurely encashed some bank balances without awaiting the outcome of the scheduled hearing before the bench.
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The Congress has urgently appealed for a halt to further proceedings until the stay application is disposed of. In response, the ITAT has issued a directive to maintain the status quo until the matter undergoes a hearing, which is slated for 2:30 pm today, reports said.
Last week, Congress treasurer and senior leader Ajay Maken accused the Income Tax Department of freezing four bank accounts belonging to the party and the Youth Congress. He claimed that a demand of Rs 210 crore has been raised in connection with the income tax return case for the fiscal year 2018-19.
Contrary to these allegations, the Income Tax Department clarified to the ITAT that it has not frozen the Congress's bank accounts. Instead, it stated that a lien on the amount has been requested in accordance with an earlier demand.
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According to the Congress, the IT Department has instructed the party to ensure that Rs 115 crore is maintained in the banks. Congress leader Ajay Maken emphasized that this amount is marked as a lien in the bank accounts, effectively freezing it. Maken pointed out that the frozen Rs 115 crore exceeds the balance in their current account.
