In a bid to tighten the noose on wilful loan defaulters, the Central Board of Direct Taxes (CBDT) on Wednesday (26 June) instructed the Income-Tax (IT) Department to share in "public interest" the details of assets and accounts of all such individuals with the public sector banks, Livemint.
For implementing the directive from CBDT, the IT department will be culling out the necessary information from the Income Tax Return (ITR) filed by the assesses. The CBDT also underscored that besides the statement of assets, the information such as bank account details, sundry debtors of the loan defaulter can also be made accessible to the public sector banks by the IT Department, if requested.
The sharing of information will be done under Section 138 (1) (b) of the IT Act which states that if a prescribed application is made to the jurisdictional Principal Chief Commissioner or Principal Commissioner of IT, he or she can furnish the information if they are satisfied that this sharing will public interest.
However, the CBDT also added that at the time of supply of such information, a confidentiality clause may be included specifying that the provided information would only be used for the purpose of loan recovery and would not be shared with any other person or agency.
As you are no doubt aware, Swarajya is, all in all, a reader-subscription-backed business model and in order to make sure we build a media platform with only the best interests of India at heart, we need your backing.
And in challenging times like this, we need your support now more than ever—to continue bringing you stories that are often shrugged off.
For us to invest in quality reporting and continue bringing you the right stories, it takes a lot of time and money.
Partner with us, be a patron or a subscriber. We need your support, throughout.