Tax Evasion Petition (TEP)
1. What is Mean by TEP
Tax Evasion Petition: A complaint letter to Income tax Department (CBDT) with proof to investigate the revenue loss to government ex-checker because of such evasion.
2. Why TEP
Mostly wife always give the list of stridhan 3-4 times from the actual list of the stridhan / huge amount of dowry in her compliant (u/s IPC 406). So we have the legal tool for this we should complaint in the Income Tax dept. for verifying that they’ve declared that much income or not. If they’ve not declared that much income then recover the tax with some penalty. But very few people go to Income Tax Dept to ask for verifying their income.
3. When to file TEP
a. If your wife do the false allegation in DV affidavit case or in 498a FIR and about huge amount of money spend in marriage and stridhan or dowry or exchange of money in your marriage.
b. If your Father in Law has disproportionate assets w.r.t his income, TEP is possible, You have to show undisclosed income, the unaccounted flow of cash, unexplained expenditure etc. to file TEP.
c. If the value of the furniture, gold, cash was not proportionate to his income at the time of expenditure, you can file TEP.
4. What are the task before filing the TEP
a. Get the certified copy of the compliant
b. Get the PAN number if you know
c. Prepared the proper application
d. Get the address of Income tax department in your area.
5. What document required to file the TEP
a. TEP application- Format is available
b. DV case or CrPC 125 Case Affidavit or FIR copy of 498a or any authentic document as per evidence act where your wife told they spend huge money in marriage / dowry / stridhan.
6. What are the grounds for filling TEP?
If you have FIR copy/DV copy/Bills of marriage expenses claimed by opposite party wherein they have mentioned huge amount (beyond their capacity to spend). Bills of marriage expenses claimed by the opposite party if you have any detail wherein they have mentioned a larger amount (beyond their capacity to spend). Better to have more and more information like their bank accounts/properties also.
7. I don’t have Pan number of Father-In-Law. How to file the TEP
Even if PAN number is not available to file the TEP, just give the full name and address details.
8. How much time does it take to resolve the query under TEP
Generally, it takes around 1.5 years to 3 years depending upon your follow up / RTI.
9. What are the Advantages of TEP
a. For sure this will go against the 498A / DV family as it will expose their false allegations
b. You can screw the 498a family royally, with this “Legal Cruelty” tool.
c. Can handle without legal aid. No lawyer expenses
d. Fire numerous RTIs based on the opponents’ profile and fast track the TEP investigation..
e. You can call the Investigation officer with Investigation report using witness summons in your CROSS stage then all the false of dowry will be nullified and their case is weak, you have upper hand.
10. What are the Disadvantages:
a. Will not work when less amount is claimed as dowry
b. Needs to cope up with time delay for RTI replies from govt. departments & information commission response for appeals.
c. Government machinery may not work with expected efficiency.
d. Very indirect method of attacking the opponents.
11. Where should I make a complaint?
To “The Chief Commissioner of Income Tax” of your particular state with a copy to DGIT(Investigations) Income Tax Department. Secondly to Member Investigation, CBDT, Department of Revenue, Ministry of Finance, North Block. New Delhi.
12. How TEP Strategy works
a. Ask for detailed Investigation report of the proven TEP.
b. Submit the same in the 498A court questioning that with IT Deptt also not able to find the source of income to pay such a dowry, the case definitely is false as it has been investigated by a party having no interest (i.e. IT Deptt) and that too a Govt. department.
c. To submit to the 498A court that the family is itself dishonest by nature and hence has filed this 498A for encasings money using Law as an extortion tool.
13. The format of TEP Application
Date: XX /XX/XX
To,
Chief Commissioner Of Income Tax,
Address
Subject: Tax Evasion Petition for an investigation into the source of income and tax liabilities against Mrs. <wife full name> ( PAN No. : XXXXXX ), Shri. <FIL full name> ( PAN No. : XXXXXX )
• …..
Honorable Sir/ Madam,
This is a tax evasion complaint against following three members with the details are:
1. Mrs. <wife full name> ( PAN No. : XXXXXX )
Residence Address:
Mobile Number:
2. Shri . <FIL full name> ( PAN No. : )
Residence Address:
Mobile Number:
Background
I <your name> , R/At Flat no _________________________________, wish to bring to your kind notice the following points.
I got married to Mrs. <wife name> on XXth June 20XX in XXXXX, Bangalore according to Hindu Rites in presence of caste elders.
My wife Mrs. <wife name> has framed a false domestic violence complaint under Section 12 of PWDVA Act 2005 r/w s. 3, 17,18,19,20,21,22,23. It has been claimed by Mrs. <wife name> in her own admission that Shri. <FIL name> & family member had gave 17 Tolas of Gold and 2 Kilo Silver and spent Rs XX Lacs in marriage along with cash, furniture, electronic item TV, Fridge, utensils and other complete household required on XX June, 20XX (in financial year 20XX-20XX), If we count the total amount it will be more than XX Lac.
<FIL name> also married his two daughter’s ( name XXXX and XXXX) where it is presumed that he must have spent an equivalent amount in her wedding. It means he spends more than XX Lacks Rupees. It needs to be verified how come Shri. <FIL name> amassed such an astonishing wealth for these marriages. It becomes my duty as a patriot and citizen of India to ask the authorities to verify the source of income and tax returns filed by <FIL name>. It is submitted that Shri. <FIL name> was a normal businessman and <BIL name> was working with BPO, so from where he got such huge sum of money for said dowry and has carried other liabilities of the family besides having other liabilities is a matter of investigation which your esteemed department has the jurisdiction to investigate.
Please investigate as to whether Shri. <FIL name> & Mrs. <wife name> has ever shown such a huge amount as his / her income and paid taxes on the same (this income does not include only the amount allegedly spend on dowry items but also amount spend on other liabilities of his family and invested/spend on the properties owned by him) and if they had purchased the items of dowry from shops/showrooms after paying proper taxes for their purchase.
Ground for complaint
As <FIL name> & <wife name> (as claimed) had spent Rs XX.00 lacs in financial Year 20XX-20XX so his income tax return and source of fund of Rs XX.00 lacs may be verified and tax should be collected as per provision of Income Tax.
A further careful perusal of the PWDVA petition & Attached Complaint letter of Mrs. <wife name> hints provision of section 68, 69,69A, 69B, 69C & 69D under Income Tax Act of 1961 are applicable on Shri. <FIL name> & Mrs. <wife name> as far as in my knowledge. However, there may be many other provisions of income tax which is best known to Honorable Income tax authority.
The section 68 deals with cash credits proving the identity of the creditor, capacity of the creditor, genuineness of the transaction are the important things of this section. Section 69 & 69A, B deals with unexplained investment, unexplained money & investment not fully disclosed in books of accounts.
The Section 69C deals with the unexplained expenditure, the important requirement of this section is that an expenditure has been found to have been incurred by an assessee in any financial year and the assess fails to indicate a satisfactory source of such expenditure.
It becomes my duty as a patriot and citizen of India to ask the authorities to verify the source of income and tax returns filed by (<FIL name>& Mrs. <wife name>) . In case investigations are instituted through local authorities, it will be able to unearth huge revenue from (<FIL name> & Mrs. <wife name>). It is therefore requested that necessary investigations may kindly be made against Shri. <FIL name> & Mrs. <wife name> in the interest of justice and requirement of law. As per Income tax rules, income source of (<FIL name> & <wife name>) must be checked and recovery should be made from them against the expenditures they have claimed to made in the marriage of their daughter. Shri. <FIL name> & <wife name> income and source of fund should be verified from financial years 20XX to till date and share the tax return copies with me. The authority is under bounden duty to investigate the said information since it relates and its refusal may prejudice the appellant upon which an PWDVA compliant has been registered. Since criminal jurisprudence, it is clear that innocent person should not be convicted and a person is presumed innocent unless found guilty/convicted. I request you to kindly take cognizance of my complaint and honor the aforesaid Judgment to verify their expenditure and initiate action against <FIL name> & <wife name> as for tax evasion if any.
There is also an apprehension that <FIL name> & Mrs. <wife name>) may provide false Information to Tax Authorities. So, I would also like to request that the name of investigating officer be provided to me who will be looking at this matter, as there is every apprehension that the information provided to me will be misleading due to political pressure and bureaucratic contacts of <FIL name> & Mrs. <wife name>). I may be given the due prize money as per income tax guidelines for revealing this to the authorities.
Thanking you in anticipation
With Kind Regards
Your Name
Address
MOBILE:
Enclosures :-
1. PWDVA compliant copy
2. Affidavit copy
3. Judgement of the Honorable High Court of Delhi in the case of “Neera Singh Vs. The State”
Copy to:
1. Director General of Income Tax (Investigations)
Income Tax Department, Deptt of Revenue.
3rd Floor, A Center. E-2, Jhandewalan Extn.New Delhi- 55.
2. Member Investigation, CBDT, Department of Revenue,
Ministry of Finance,North Block. New Delhi
14. What will happen to 498a family if you are able to successful filed TEP
a. They need to pay the Tax of undisclosed income
b. They need to disclose the source of income from unaccounted amount
c. Plus penalty, which can not be less than 100% of the evaded amount and not more than 300% of the evaded amount
d. You will get the 10% prize amount
15. Following precaution should be take care before filing the RTI on TEO
a. Your RTI application is proper and short
b. You should have provided grounds for disclosure of the said information by stating that the Truth and Justice are the superior most “Public Interest” subjects and the denial of information can hamper your liberty and Constitutional right under article 21 regarding Right to Live with Dignity.
c. You should file the multiple RTI with short question
d. While asking information under RTI Act care should be taken as there is no need to ask income tax return. Instead ask for whether the income shown is below or above the one claimed in your FIR or CAWCell complaint. Then it will be easier for them to reply as here you are not asking return, neither you are asking amount.You will get the information which will be sufficient.
e. Also do ask for how many times notices were sent, if one of the notice is not complied then it attracts penalties and so on.
16. How to get the output of TEP
Outcome of the TEP has to be disclosed as per the following decisions of the CIC:
17. What is term Tax evader?
Tax evader is the person who has not submitted required Income tax as per law.
18. Step and Process of TEP
a. Filled TEP in Income Tax department
b. Sent RTI to find get status of TEP on November ,
c. If you get the negative response of the RTI “The CPIO denied the information requested, citing Section 8(1)(j) and 8(1)(h) of the RTI Act, 2005. ”
d. Sent first Appeal to concern office 2
e. You will get some response from of my first appeal and RTI as well and in the RTI response
f. Ask the detail report in your case using CRPC 91 or witness summons
g. Get the final report from the authority
19. Problem with TEP
a. One major hurdle is the statutory limitation of TEP of 6 years.
b. More than 6 years old, the department are allowed to not investigate apparently they carry the records only 6 years back – Hence filing TEP as soon as possible is best thingto do.
c. IT Returns can be opened for 4 years, if the amount realizable is less than 1 Lakh
d. IT Returns can be opened for 6 years, if the amount realizable is more than 1 Lakh
20. What are the different categories of TEP INVESTIGATION?
a. Z- Categories – All the personal complaint are considered like TEP against 498a Family, this is slow and low priority
b. Y- Categories – All the business men with huge turn over, this is medium priority
c. X- Categories – All major frauds, this has the highest priority
21. What is the judgments refer by Income tax authorities to reject information under RTI Act 2005?
The Hon’ble Supreme Court in the case Girish Ramchandra Deshpande Vs. CIC dated October 3,2012 has held that the details disclosed by a person in his Income Tax Returns are “personal information” which stand exempted from disclosure u/s 8(1)(j) of the RTI Act unless a larger public interest is involved. In the instant case, the appellant has not been able to establish that the information sought for is for larger public interest. In fact, the appellant has sought this information on the ground that it was on the basis of his complaint that the IT authorities had ordered reassessment. In the light of the Supreme Court decision, the Commission concurs with the decision of the CPIO and Appellate Authority.(Ref. (Civil) No. 27734 of 2012 (@ CC 14781/2012)
22. CIC judgment which You should attach with First Appeal.
File No.CIC/DS/A/2011/003792/RM
“As the appellant has provided information relating to tax evasion, the CPIO is directed to inform the appellant as to whether the information provided by him was true or false and to disclose the broad outcome of the reassessment, without divulging specific details, once the process is completed.”
23. Where can I complaint if Income Tax officer is not taking proper action on TEP?
You can complaint to Vigilance department of Income Tax. Refer to below link for more detail http://www.incometaxindia.gov.in/vigilance/compl.html
24. How can I show larger public interest in my RTI against TEP?
Firstly, Tax Evasion is a crime and the knowledge is needed in public domain. (It is different than asking IT Returns). Secondly the information is required to prove innocence of few people (More than ONE)
25. What happen after filing TEP
Income tax department issue notice u/s 142(1) of income tax Act. The parties need to respond within one month otherwise there is a penalty of upto 10 000/- for disobeying notice. But no one cares as income tax officer never implement. The copy of the summon has a clause which reads as follows
“Without prejudice to the provisions of any other law for the time being in force, if you intentionally omit to so attend and give evidence or to produce the books of accounts and or documents a penalty for a sum which shall not be less than Rs.1000/- (Rupees one thousand) but which may extend to Rs. 10,000/- (Rupees ten thousand) for each default or failure shall be imposed upon you under section 272A(1)(e) of the Income-tax Act, 1961/37(2) of Wealth Tax act, 1957.”
If required ITO can issue summons u/s 131 of the Income Tax Act, 1961 wherein opposite party will be directed to present himself/herself before ITO
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