Declaration Scheme (IDS) was announced in the Union Budget 2016-17 under which declaration
of undisclosed income or assetcould be made by agreeing to pay forty five
percent (45%) of the declared amount as tax, surcharge and penalty. The scheme
closed on 30th September,2016.
On 1st October, 2016,
it was announced that declarations totalling Rs. 65,250 crore were
received from 64,275 declarants, subject to reconciliation. After final
reconciliation the revised figure of actual declarations received and taken on
record was Rs. 67,382 crore which had been made by 71,726
declarations received, there were two sets of declarations of high value which
were not taken on record in the above figure because these declarations were
found to be suspicious in nature being filed by persons of small means. A
family of four declarants namely, Mr. Abdul Razzaque Mohammed Sayed (self),
Mr.Mohammed Aarif Abdul Razzaque Sayed (son), Shrimati Rukhsana Abdul Razzaque Sayed
(wife) and Ms.Noorjahan Mohammed Sayed (sister) who were shown as residents of
Flat no. 4 , Ground Floor , Jubilee Court, 269-B, T.P.S-III, Linking Road,
Bandra (W), Mumbai, filed a total declaration of Rs. Two lakh crore (Rs.
2,00,000 crore). Three out of the four PAN numbers were originally in Ajmer
which were migrated to Mumbai in September 2016, where the declarations were
filed. The other declaration was filed by one Mr. Mahesh Kumar Champaklal
Shah resident of 206, MangalJyot Tower, Jodhpur Gram Satellite, Ahmedabad for
an amount of Rs.Thirteen Thousand Eight Hundred and Sixty crore (Rs.13,860
from Mumbai and Ahmedabad were kept pending for investigation about the
genuineness of the same and were not included in the total value of
declarations announced on 1st October, 2016. After due enquiry, it was found
that these declarants were persons of suspicious nature and very small means and
the declarations could have been misused.
due consideration, the Income Tax Department decided by 30th November, 2016 ,
to reject these two sets of declarations of Rs.Two Lakh Crore
and Rs.Thirteen Thousand Eight Hundred and Sixty Crore respectively. The
Department has since commenced enquiries against these declarants to determine
the intention behind these false declarations.