I-T Dept summons Jet Airways founder Naresh Goyal in tax evasion case: Report
The investigation wing of the I-T Department has found alleged irregularities in transactions between Jet Airways and its Dubai-based group firms to evade taxes worth Rs 650 crore
- Jun 15, 2019,
- Updated Jun 19, 2019 9:24 AM IST
The Income Tax (IT) Department has summoned Jet Airways founder Naresh Goyal for questioning in relation with an alleged case of tax invasion. This is the first time when an enforcement agency has summoned Goyal on charges of any financial irregularities in Jet Airways.
The investigation wing of the I-T Department has found alleged irregularities in transactions between Jet Airways and its Dubai-based group firms to evade taxes worth Rs 650 crore, sources told sources told the Economic Times. The grounded airline reportedly paid commissions to its general sales agent in Dubai every year. Goyal will be asked to provide an explanation for these payments, they said.
According to the investigation report, such payments were allegedly in excess of permissible business transactions under the Income Tax Act and will not considered as allowable expenses.
"The survey was conducted at the time when Jet Airways was delaying the announcement of its June quarter result," an income tax official told ET.
"These are excessive payments made with the intent to divert funds abroad, so as to evade taxes."
"The assessment wing is now carrying out the inquiry, and based on the findings, had summoned Goyal to explain the case," another person said.
The Income Tax (IT) Department has summoned Jet Airways founder Naresh Goyal for questioning in relation with an alleged case of tax invasion. This is the first time when an enforcement agency has summoned Goyal on charges of any financial irregularities in Jet Airways.
The investigation wing of the I-T Department has found alleged irregularities in transactions between Jet Airways and its Dubai-based group firms to evade taxes worth Rs 650 crore, sources told sources told the Economic Times. The grounded airline reportedly paid commissions to its general sales agent in Dubai every year. Goyal will be asked to provide an explanation for these payments, they said.
According to the investigation report, such payments were allegedly in excess of permissible business transactions under the Income Tax Act and will not considered as allowable expenses.
"The survey was conducted at the time when Jet Airways was delaying the announcement of its June quarter result," an income tax official told ET.
"These are excessive payments made with the intent to divert funds abroad, so as to evade taxes."
"The assessment wing is now carrying out the inquiry, and based on the findings, had summoned Goyal to explain the case," another person said.