Insta
CBDT (Pradeep Gaur/Mint via Getty Images)
Amidst the government’s crackdown on numerous shell companies, the Central Board of Direct Taxes (CBDT) wants about 4,000 such firms to be restored to collect unpaid taxes, reports The Hindu BusinessLine.
This move finds its rationale in the development that owing to de-registration of a large number of shell companies over the past few years, the CBDT is left with no means to recover tax dues from many of the now de-registered shell firms.
“If there is no identity of the companies, whom do we chase to recover our dues from? So the applications are being filed for restoration,” a CBDT spokesperson said.
The CBDT which functions under the administrative control of the Ministry of Finance has built consensus with the Ministry of Corporate Affairs (MCA) over the issue, with the latter asking it to file the restoration application with the National Company Law Tribunal (NCLT).
As a result, the CBDT has directed its field formations across the nation to file applications with the NCLT for the restoration of shell companies.
The Union Government had struck off around 2.26 lakh shell companies in the first drive from FY14 to FY15, while another 1,00,150 companies were struck off between FY16 and FY17 in a bid to counter tax evasion, money laundering, obscuring ownership and benami properties.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
Latest