Large Cash Sales Deposits During Demonetisation – CBDT Will Verify Businessmen and PSU /Govt Employees under Operation Clean Money
Central Board of Direct Taxes (CBDT) had launched “Operation Clean Money” (OCM) on 31st January 2017 to e-verify cash deposits made during the demonetization period. It was a unique operation conducted through use of advanced data analytics allowing optimization of government resources and causing minimum inconvenience to the taxpayers.
The first phase of the operation involved e-verification of cash deposits made in the banks. The entire phase was conducted online, wherein 17.92 lakh persons, who entered into cash transactions that did not appear to be in line with their tax profile, were identified and requested for on-line responses on such transactions.
Now, OCM has moved into the next phase with identification of high risk persons for detailed investigations.
Now CBDT will target following categories of taxpayers under OCM :-
a) Businesses claiming cash sales as the source of cash deposits which is found to be excessive compared to their past profile or industry norms.
b) Large cash deposits made by government or PSU employees.
c) Persons who have undertaken high value purchases.
d) Persons who have used shell entities for layering of funds; and where no responses have been received.
Press release Dated 14-04-2017

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