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Faking rent receipts to claim tax deductions high in Visakhapatnam

IT department is asking for proof to check whether the taxpayer is staying at the rented property or not.

VISAKHAPATNAM: Faking house rent receipts to claim tax deductions is rampant in Vizag. Hence, the income tax department is asking for proof to check whether the taxpayer claiming deductions under HRA is staying at the rented property or not, said Income Tax Department Assistant Commissioner Sheetal Sarin. She revealed this while addressing the faculty and staff of GITAM deemed University to create awareness on e-filing and other financial related issues.

The IT officer said the Income Tax Department identified around 20 percent of fake house rent receipts to claim tax deductions and sought action against those taxpayers. She observed that the E-filling facility is actively utilised by around one lakh taxpayers in and around Visakhapatnam which is a positive sign. She urged the gathering to assist small and medium taxpayers in the preparation of their return of income and other income tax related issues.

The Government of India has designed the Tax Return Preparer Scheme (TRP Scheme) and authorises tax professionals called as the Tax Return Prepares (TRPs). The scheme is managed by the Income Tax Department, she added. The IT Department Officials Shiv Sankar Naik, Naveen Kumar briefed about the e-filing details and also clarified doubts.

( Source : Deccan Chronicle. )
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