Income Tax notice to 7,187 luxury houses in Malabar
Kozhikode: The Income Tax department has sought the expenditure details and source of funds for 7,187 houses with a built-up area of over 3,000 square feet in Malabar.
Sources told DC that there were several houses of MLAs and councillors that fell under this category and that over 90 percent of these houses were constructed using black money.
One house in Kondotty is over 40,000 square feet and most such houses are in Malappuram and Kannur.
The department has already issued notices to owners of these palatial houses directing them to furnish the details of their source of revenue and many have started filing the details.
Department sources said that several MLAs and councillors had houses measuring over 3,000 square feet and they also had been asked to furnish the details of revenue.
“We provide them a chance to declare their source of income and escape penalty. Many have come forward to pay the tax.
The majority of these houses are constructed using black money and we are scrutinising the papers submitted by the house owners,” Mr P.N. Devadas, Income Tax commissioner, Kozhikode circle, told DC.
Malappuram has the most number of 3,000-plus square feet houses (2,831). Kozhikode district with 1,507 such houses comes second. Kasargod, notorious for its mafia gangs, smuggling dons and hawala agents, has 1,289 houses whereas Kannur has 1,507.
“Most of the 1,289 houses listed in Kasargod are too huge and luxurious and most of them have over 10,000 square feet area,” a department official said.