The Central Board of Direct Taxes (CBDT) is all set to crack the whip on depositors who failed to verify cash deposits of Rs 5 lakh and above during the demonetisation drive.
The board has also asked its officers to take action against those who have offered or repaid loans in cash, which attract 100 % penalty. However, the department is likely to go easy on ‘low-risk-cases’.
As per the reports, around 18 lakh people had deposited more than Rs 5 lakh cash in their bank accounts during demonetisation period without any electronic verification. The tax department has also asked its field officers to ensure that the entire process is electronic and non-intrusive.